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Tt t < INTERNATIONAL M «, 4 

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PUBLISHED WITH THE NEW YORK TIMES AND THE WASHINGTON POST 


Paris, Tuesday, October 18, 1994 


No. 34.722 


Kohl Faces 

ISS^ Wide Range 

Of Tests in 
New Term 


STT.J! * »n* 

PjitUvk. uiib H . ^ 

l A r A»»ti»n\* '. , ,s huo.fc. 

Sjnv" 


'h J NarrowEleetion Victory 

«£Sf? 5 iS "lift Hopes « 
S^wSS? BigEeonomic Problems 

dcrT*.i^. lrj fjbr * t* .; Bv Ride Atkinson 


. 4 By Ride Atkinson 

*> Washington Past Scmce 

a» a« 4 v - ' C fr Jcs| S ncr J“ aii^ BERLIN —It has been quite a year for 

T? L 111 Helmut KohL -• 

ghl dtvw? 11 ' , !,udc ' a jSJl Gcnaan <**»*&<* presided over a 

MM, rtini * I^uniei E?* robust recovery from his country’s worst 
S ES2 lJ * l ?» «l£2Sf recession since World War tt He nshered 
?®n “ <fed U1, h meih I 2 ®* Russian troops from German sofl. 

a nux He came back from the political dead to 

«flier strong trend b«ui * w * fourth tom in office, resurrecting 
KKwnng comcd! ' ! 

I.“*? c L Kiel “' s NEWS ANALYSIS 

dnases m the iliiw - ' : 

a ih «• mJ?* n f**5 B - RdxnJfc both his lifeless Christian Democratic 
„• Jn J Ulu te Union and bis even more moribund coali- 

£v*i? l £ Vl ’ s,s \ mJ amrtSS -tion partner, the Free Democrats. 

V a high-wuistui Now comes die hard part. 

Q ■ C**meback of color k» m. As Monday morning’s Berliner Zeitung 

* on the bright bide of Kfew £ newspaper observed of die governing co- 

V pattern mi\«. men aSSf albkm’s narrow victory On Sunday, “What 

fabric* am) fci awaits Kohl and his new government is not 

iters mere oiVfwheimSEil? 1 611 “ office, but the hour of 

« Russian peasants . 0 iJff* 5 a ‘ confrontation with 

Ax it thnSa be ill! ? pent-npproblems, the depths of which are 
' ■ "ttKj only now becoming dear: expressive mass 

unemployment, huge government debts, 

" trapayable entitlements, a split society” 

AD true, unfortunately, for Germany 
and forMr. Kohl, whose re-election, by 
just 143J1QQ votes out of nearly 50 million 
caMj family hands him a tri umphant n»gn - 

y j date with which to confront his country’s 

l/msfArn b nr atm challenges. A 10-seat majority out of 672 
¥ COICI 11 JUK1HNK seats in the Parliament, West German Ra- 
1 cHp observed, “is amisezable starting point 

ifetttiitfi uuh iitc KraU<» Msti & an effective governmenL” 

, visits from Morld-rnw*wi* ^And if Gennmiy is ineffective, the con- 
ukMcr% — Krrssrti'f Perafatifc: sequences extend far beyond Bonn or the 
fotmdam-:’. :. N'jiu —and talk Blade Forest. Tbe German economy is the 
»0j|b(Vji!K‘n with a Krak^ afc world’s third largest, behind those of the 
duwrthrii.'-.vp^nwofWHte Umte d State s and Japan. 
wmc fc\ Hcni.i*!iin Bniien. As ^ Eurqpers most populous nation, geo- 

graphically centered. m.a continent strug- 
be wuden: Usi'. n JmdaidBf gbng tp beajHne one again, Germany is 
itnOM I n aipii t i urojv. Wens simply ;loo big, . too central and too rich to 
Hi i km ,-t thr world. A m? avGld becomh^tte^flernnrdttwiiich Eu- - 
tag jpri * c ' '" '*'■ hath dastt ro^ean ptogtess teetog. . - 

t, with the timphasis on chaste 111 c T 1 “^? 5 f f e ,* 3 T, 10 a 

* ’ tenure thathas already lasted 12 years, Mr. 

m Mthatio ano4l a ^ ^ twin amKrions: fehhmg the 
MiktnW the 10 BWB*t work ^ European mnty and fimshmg tbe 



A Tresh Be ginning 9 
For Israel and Jordan 

Draft Peace Agreement Is Initialed , 
Marking End to Decades of Hostility 


King Hussein, left, embracing Mr. Peres on Monday after their agreement on a draft treaty, as Mr. Rabin kISs «T 


By Alan Cowell 

Se h York Tuna Senw 

AMMAN, Jordan — After tortuous 
overnight negotiations and with little ad- 
vance fanfare, Israel and Jordan initialed a 
draft peace treaty Monday in the first 
major addition to the patchwork of Middle 
East peace since last year’s agreement be- 
tween Israel and the Palestine Liberation 
Organization. 

The treaty joined lands whose conflicts 
had for more than 20 years left them as 
uneasy neighbors rather than active com- 
batants. But in the region’s diplomacy, it 
maintained the momentum of peace ef- 
forts and shifted the diplomatic focus to 
Syria and Lebanon as Israel’s only neigh- 
bors still in a state of war. Israel signed its 
first peace agreement with an Arab neigh- 
bor in 1979 when it formally ended hostil- 
ities with Egypt. 

Neither of the signers made public de- 
tails of tbe accord, and officials said a final 
agreement still had to be worked out. 

Israeli radio reported that the deal in- 
volved Israel's agreeing to divert some 50 
million cubic meters of water a year to 
Jordan where, as elsewhere in this region, 
water is almost as valuable a commodity as 
oil in calculations of economic viability. 

AdditionaUy, the two sides reportedly 
agreed to build dams on the Yarmuk and 
Jordan rivers at an unspecified later stage 
to increase water supplies to both coun- 
tries. 


Western Europe 

ifctaiion wuh the RuLm Misti 


mm h\ IfcniJKim Bniien. A Lr°S? : 

graphically 

fee MVdrui Uvh is Jnidcdjtei gling tp IK 

e&bt 1 fl'ii'iit Europe. We>iai\ . simply; too 
itittsl ,'i the world. A rosr: 
itag an 4 c-a. t. will u-ach Axstz ropean pi^ 
t. With the emphasis on chaste . 


In Turnabout, U.S. to Help China’s Army Make Goods 

By Steven Mufson Mr. Perry called the meetings “a good start.” and Mr. Mr. Peny stressed that military' relations could not 

Washington Paa Serna Chi said “both sides have shown a positive attitude for develop fully without improvements in U-S.-Chinese 

BEUING — Tbe Clinton administration, which just a the restoration and development of relations between the overall relations, and that oilman rights were an impor- 


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idiitkw wiiJ he the broadaH!® 
? h« has I.Hig dreamed if lx» 

Optra C ompany "Our aw 
i«y to put new prvxlunk)® 1 ' 

'Wt ip pm i'ii operxv f»v w*4 ^ 
Donutetu, Rosuni. 

He pcvfnmmi three Ridujs 


. . . SeeKOHL, Page 10 

Dollar Tumbles 


By Steven Mufson 

Washington Post Service 

BEUING — Tbe Clinton administration, which just a 
few months ago was considering import sanctions on 
toys, pharmaceuticals, clothes and other goods made by 
Chinese military enterprises, signed an accord on Mon- 
day that provides U.S. assistance to help the Chinese 
milita ry make even more civilian products. 

The turnaround is part of the U.S.-Chinese rapproche- 
ment underlined by a four-day visit by Defense Secretary 
William J. Peny. Mr.’ Peny. who has visited China nine 
times though never as defense secretary, was warmly 
received Monday as “an old friend of C hina. ” 

He met with Foreign Minister Qian Qjchen and De- 
fense Minister Chi Haotian as well as Liu Huaqing, 
deputy chairman of tbe Central Military Commission, 
and Ding Henggao, the minister of the Commission of 
Science, Technology and Industry. 


Mr. Perry called the meetings “a good start.” and Mr. 
Chi said “both sides have shown a positive attitude for 
the restoration and development of relations between the 
two armies." 

American officials said the talks dealt with six issues: 
North Korea, the halt of long-range missile exports by 
China, the spread of nuclear weapons, human rights, 
defense conversion and the need to make China's mi Uiary 
less secretive. Both sides affirmed commitments to a 
nuclear-free Korean Peninsula, the end of missile expons 
•mu •nt.-cluir' nonproiiieraiiort. 

In sharp contrast to Chinese meetings with State De- 
partment officials earlier this year, Mr. Perry’s talks were 
not marred by any discussion of U.S. relations with 
Taiwan. Discussions of human rights were amicable. 
American officials said, taking up 15 to 20 minutes of Mr. 
Perry’s two-hour meeting with the Chinese defense minis- 
ter and three senior service commanders. 


overall relations, and that human rights were an impor- 
tant component of that. 

.Although conceding that the discussion of human 
rights did not lead to any “common views," a senior U.S. 
official said the talks were “non polemical” and at least 
opened an additional channel to address such issues. 

State Department human-rights officials have been 
largely stymied in their efforts to engage the Chinese 
government on human-rights issues, including prison 
conditions, the detention of dissidents and the jamming 
of broadcasts of the Voice of America. 

The signing of the accord to create the Joint Defense 
Conversion Commission is aimed at aiding Chinese ef- 


Israeli radio said the two sides hod also 
reached a complex accord on territoiy that 
would allow Jordan to reassert its sover- 
eignty over a pocket of Israeli-occupied 
territoiy measuring some 350 square kilo- 
meters (135 square miles) along their 
southern border, hut lease about 30 square 
kilometers of the lerriton' back to Israel. 

The unusual arrangement could become 
a precedent for Israel’s negotiations with 
Syria over the far more extensive and ex- 
plosive issue of w>ho controls the Israeli- 
occupied Golan Height*. This is the cen- 
tral theme of Israel’s conflict with 
President Hafez Assad in Damascus. 

In Amman on Monday, both Israeli and 
Jordanian leaders seemed intent on under- 
scoring the virtues of their agreement and 
the warmth of a relationship that is widely 
thought to have grown in secrecy when the 
two sides were not officially on speaking 
terms. 

“No one lost.” Prime Minister Yitzhak 
Rabin of Israel said. “No one won. We all 
won.” 

“Between us. hopefully, it is a fresh 
beginning, a fresh start,” King Hussein 
said at the ceremony in the royal guest 
palace where the treaty was initialed by 
Mr. Rabin and his Jordanian counterpart, 
Abdul Salam Majali. 

“1 hope and pray it is something wr 
leave behind for ail the generations to 
come,” the king said. 

The king told Mr. Rabin that he wanted 
to “salute your determination and untiring 
effort” 

Mr. Rabin turned to the Jordanian mon- 
arch, whose control over the West Bank 
was ended by Israel with the 1967 Middle 
East war. and spoke of “the unique cour- 
age that is so characteristic erf' Kang Hus- 
sein in whatever he has done.” 

Foreign Minister Shimon Peres of Israel 
later surprised many Jordanians by em- 
bracing the king and kissing him on both 
cheeks, a traditional form of Arab greet- 
ing. 

[President Bill Clinton welcomed the 
agreement and is expected to attend the 
signing ceremony in late October. Agence 
France- Presse reported from Washington. 

(“I am delighted by the announcement.” 
he said, adding that King Hussein and Mr. 
Rabin “today resolved that their nations 
would henceforth live in peace and as good 
neighbors.”] 

. Jordan signed an agreement with Israel 


fort, * turn notary c^pmc^ maker, 

is a n ,a ® n 5 widtirw) f«r 46 VMrc 


Sec CHINA, Page 10 


Agains t Mark Philip Chides Charles Over Lack of Royal Discn 

‘ . . By John Damton 


y yffgy for ,U» years 
the cuscuiwx 


* Yne aoilar began tbe oay tumour 
fv ,, j[ %i rld C0P through die crucial 1.5000 DM level i 
Uireil early trading in Asia. It then firmed cor 

;i i'h p 1 " 1 sideraHy in Europe, onty to slump again i 
>■ the United Stales and close at 1.4980DN 


MK ilt ■”« 


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pcrUt' ' CT r‘ rrp • huemokmal Heraid Tribune 

x .fti yean it > LONDON — In a wild roller-coaster 

costumes. 1 ®“? “r on the world’s currency markets, the 

dollar tumbled Monday to its lowest levels 

against the Deutsche mark in two years 
after German voters returned Chancellor 
Helmut Kohl's coalition government to 
office. . 

•^he dollar also weakened against the 
' yea, die French franc and other major 
currencies. • 

* The dollar began the day tumbling 
j, / through the crucial 1.5000 DM level in 

“• ,i ' t earfy trading in Asia. It then finned con- 

k'h P tl " 1 ^ sideraHy in Europe, only to shmap again in 
the Umted States and close at 1.4980 DM. 

• ;« ?' • '*7 ,4 ’ ■- Tbe gyrations left analysts in London, 

(he world's largest currency market, warxt- 
. mg that they saw little to prop .up the 
M 1 '- 1 ^ American currency in the near tom. Even 
worse,' some saw a couple of major nega- 
■ tives overhanging the dollar, 
i, \\.v ^ - Meanwhile, tbe traditional remedy for 

■n ,l an adi^ currency — a boost in interest 

, rates— r was stiD seen as some time off. 

- An increase -is not expected until the 
Si r'll' ' nexti^etzngof the Federal Reserve’s rate- 

seUrng Open Market. Committee, on Nov. 
w 15. That (tide is seen as too late by some 
> sh*fi ^ are *8tt exchange analysts, who stress that 
\!.vr .a- 1 •. the markets have never been known for 

their patience. 

“November 15 still seems a long way 
. rv > n in awav. and the nrosnect erf another half a 


; i,j 


. >. .Mi tt.1' ^ 


jUurid 


, B 

Vnir«:- 

to VtUH 


away , and the prospect erf another half a 
percentage perfat increase in interest rates 
■ <js seems: natber here nor there,” said Inn 
1 Fax, a currency economist at Credit 
Suisse, 

^ . Tbo^e factors, coupled with a statement 
?*■ frwn Treamry Secretary Lloyd Bentscn on 

•*r See DOULAR, Page 10 


By John Damton 

New York Times Service 

LONDON — In a move pointing to 3 
rift in the Windsor family, the Duke of 
Edinburgh delivered a public rebuke on 
Monday to his son, the Prince of Wales, 
far cooperating with a biography that pre- 
sents the prince as someone who under- 
went a lonely childhood, has an unsatis- 
factory relationship with his parents and 
was browbeaten into a loveless marriage. 

Excerpts from the book, winch will go 
on sale next month, appeared Sunday in 
The Sunday Tunes. It has proved a bomb- 
shell 

The Duke of Edinburgh, portrayed un- 
flatteringly in the book as a domineering 
father whose harsh words could reduce 
Charles to tears, responded obliquely in 
an interview in the Daily Telegraph. He 
made it clear that he felt that members of 
the royal family should keep their family 
matters out of the public domain. 

“Fve never discussed private matters 
and I don’t think the queen has either,” he 
said “Very few members of the family 
have.” The newspaper said that Prince 
Philip had reportedly referred to the biog- 
raphy. titled “The Prince erf Wales,” as 
“that turgid book.” 

In addition to chastising his son for 
baring his soul in public, Philip noted that 
the monarchy had been around for “the 
last thousand years.” “If it’s lasted that 
long, it can’t be all that bad,” he said. 

The controversy has overshadowed a 
visit to Russia by Queen Elizabeth and 
Prince Philip. 

Britons have been subjected to a re- 
markable washing of dirty royal linen in 
See RIFT, Page 10 



Gngon Dultv/RnKcn 

Queen Elizabeth reviewing an honor guard Monday at the airport in Moscow as die began a visit to Russia. Page 2. 


Kiosk 


[UJSliiL'* 


UmifapAJ* 


U.S.-North Korea Nuclear Deal Is Set 


South Africa’s Servant Class Struggles On 


AT&T S K ' 


•iVi ' i - v "'° 



m r 


GENEVA (Renters) — The United 
StitteMrid North Korea reached agreo- 
feeiM -Monday on a framework docu- 
ment for a deal on Pyongyang’s nuclear 
prbgnim* the . chief UTS. negotiator, 
Rpb^ L Galhicd, said early Tuesday. 

. a Newsstand Prices . 

Andorra.-. ’>.00 FP Luxembourg 60 L Fr 

Anttire£*;..Tl J0 FF Morocco 72 Dh 

Comemon^l^oO CFA Qatar 8.00 Rials 

EflYPfU-F. P.5000 Reunion — 11.2DFF 
Frurtca^. $.00 FF Saudi Arabia -9.00 R. 
£5abon^aL«0CFA Senegal -..JW CFA 

GreecfciL 300 Dr. Spain — -200PTAS 

Italy ^X.5^00 Lire Tunisia ....70)00 Din 
1vwv€fiastvTJ20 CFA Turkey -T.L 35,000 

Jordan:.-— ....l JD UAE 8J0Dirh 

Lebcthpq fteUSS-3 JO U.S. Mil (Eur.) *1.M 




Without giving details, Mr. GaDucd 
said that the documoit was being re- 
ferred back to the two nations’ capitals 
for their approval, but that he was rec- 
ommending that Washington sign it 
Earlier article. Page 4 


up 

i 1346 i 

M 3923.93 | 

The Doliair 

HawYotfc. Mo 


Up 

0.37% 

117.73 


Mon dose 
1.498 
1.6105 
97.65 
5.143 


By Isabel Wilkerson 

New Yvrt, Times Service 

JOHANNESBURG — A desperate call came into the drab 
offices of the domestic workers' union here one recent afternoon. 
It was from a maid who had worked 10 straight years without a 
day off and was being dismissed after asking for a day to herself. 

A roomful of domestics, in their third-hand clothes and 
trademark berets, overheard the conversation. They were tired 
and far from their homelands and had not seen their families 
since Christmas. They ate, slept and talked to their children at 
the pleasure of their employers. Some fretted that they had to get 
back to make supper for Lhe bosses and wash their dishes and 
pick up their shoes. Some could lose their jobs if their employers 
knew they were dallying with the union. Indeed, some already 
had. 

And so when the call came in from a maid in trouble, the 
domestics had few tears left to shed for her. They looked down at 
tbe caipet in painful recognition. 

In the months since South Africa’s humblest workers went to 


the polls for tbe first time, many defying their employers to vote 
for Nelson Mandela, life has changed little for the people who 
form the human scaffolding of South Africa’s white elite. 

Earlier this year, in a bid to get their votes, the former 
government expanded the labor laws to give baric protection to 
domestic workers for tbe first time, entitling them to things like 
rick leave and hmch breaks. But because there appears to be little 
in the way of enforcement, and because domestics often work in 
gated isolation and in fear of losing their jobs, the rules are 
usually ignored, government officials concede. 

“It’s even worse than it was before,” said Selina Vilakari, an 


o § >-^td endured for 46 years. 

Until Sunday, however, there had been 
Kg-c ' 5 *ittle indication that the negotiations be- 
©5 £ 5. ween Jordan and Israel, which started 
|g2P with the Madrid peace conference in 1991, 
were close to overcoming unresolved dif- 
ferences over water, territory and security 
issues. 

Then, on Sunday night, it was learned 
that Mr. Rabin and Mr. Peres Peres had 
See PEACE, Page 2 


Channel Opens 
Door Nov. 14 
To Passengers 

By Erik Ipsen 

International Herald Tribune 

LONDON — The wait for passenger 
trains through the Channel Tunnel is al- 
most over. 

Eurostar, the operator of through pas- 
senger trains from London to Paris and 
Brussels, announced Monday that it would 
begin service Nov. 14. 

That news came on the same day that 
the tunneTs operators, Eurotunnel, an- 
nounced that because of the delayed start 
of service their revenues for the first six 
months of the year were 75 percent below 
projections made in May. 

Tbe Eurotunnel chairman. Sir Alastair 
Morton, noting a “frustrating and diffi- 
cult” first nine months of the year, sound- 
ed an upbeat message about the future. 

“All I am saying is that we are late; we 
are sorry, but the product is now in place,” 
he said at a news conference. 

Eurostar said its through-train passen- 
ger service would begin Nov. 14, with two 
trains per day from London to both Paris 
and Brussels. The round-trip fares for the 
Paris journey, which takes 3 hours, and the 
trip lo Brussels, which takes 3 hours 15 
mmutes, will be 1,290 French francs ($248) 
in second class and 1,620 francs in first 
class. 

By Easter, Eurotunnel officials said they 
expected to be operating full schedules on 
each of its two passenger and two freight 
services. 

Eurotunnel officials said delays in test- 
ing and commissioning both its rolling 
stock and its fixed systems, like signals, 
were responsible for delays that have 
pushed the opening dates well beyond tbe 
tunnel’s inauguration in early May. 

Hie delays were blamed for a shortfall in 
Eurotunnel’s expected cash position at the 
end of the year of £50 million ($80 mil- 
lion), cutting its cash cushion to £200 mil- 
lion. Sir Alastair stressed, however, that his 


In the harshest cases, where live-in domestics are viewed as 
family property, they are not permitted to leave the premises 
unless the boss says so or else they are sometimes beaten, raped 

See SERVANTS, Page 10 


their £8 billion in loans. He also ruled out 
any further rights issues after Mav’S £850 
million share offer. 

Shares in Eurotunnel finished the Mon- 
See TUNNEL, Page 10 


v'., 





INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER IB, 1994 


German Vote Gives 
Socialists New Role 


Scharping Warns of Troubles 
For Weakened Kohl Coalition 






By Craig R. Whitney 

New York Times Service 

BONN — Chancellor Hel- 
mut Kohl, his government co- 
alition whittled down to a 10- 
seat majority in Parliament in 
Sunday’s elections, dismissed 
the setback Monday as no ob- 
stacle to his ability to keep gov- 
erning Germany for another 
four years. 

But on any major decision 
affecting the future of Germa- 
ny, Europe, or trans-Atlantic 
relations, the chancellor now 
appears to have little option but 
to seek consensus with the op- 
position first. 

“A majority is a majority,” he 
said Monday, trying to look just 
as confidently in charge as he 
had been when he had a 134- 
seat edge, before the vote. 

“It's been four difficult years 
since the last election,” he add- 
ed, alluding to the high costs 
and social and economic turbu- 
lence brought by German re- 
unification in 1990. 

Rudolf Scharping, the 46- 
year-old leader of the largest 
opposition party, the Social 
Democrats, predicted just as 
confidently that the days of the 
coalition were numbered. 

“It will soon run into heavy 
seas,” he told reporters at party 
headquarters, where he tried to 
look like a man who knows time 
is on ius.side. 

Some seasoned diplomats 
here believe that Mr. Scharping. 
who gave up his state governor- 
ship to lead his party in Parlia- 
ment here for the next four 
years, is clearly the man to 
watch, even though Mr. Kohl 
managed to hold on this time. 

The chancellor’s Christian 
Democratic alliance won 41.5 
percent of the vote, and their 
Free Democratic coalition part- 
ners emerged with 6.9 percent, 
according to official prelimi- 
nary results Monday. 

Not only did the election 
strengthen the opposition So- 
cial Democrats and the envi- 
ronmentalist Greens in the low- 
er house of Parliament, but 
simultaneous votes for three 
state legislatures assured the 
Social Democrats of a contin- 
ued two-thirds majority in the 
upper house, which represents 
the states and has to approve all 


legislation before it can become 
law. 

“Nothing can be done over 
the next four years without the 
Social Democratic Party” Mr. 
Scharping said. 

Regarding the durability of 
Mr. Kohl’s unstable majority, 
he said, “I would bet on two 
years rather than four.” 

Mr. Scharping plans to run 
again for chancellor in 1998; 
Mr. Kohl said he would not. 

Neither Mr. Scharping nor 
Mr. Kohl gave any encourage- 
ment to talk of a formal “grand 
coalition” that would unite 
their parties. 

Politicians of both parties 
said they were encouraged by 
the poor showing of the radical 
rightist Republican Party, 
which was resurgent only a few 
years ago, when hundreds of 
thousands of foreign asylum- 
seekers and immigrants' were 
pouring into the country and 
the major parties seemed to be 
ignoring the unease the influx 
was causing. 

The Republicans won only 
1.9 percent of the national vote 
Sunday. 

“They have become a com- 
pletely insignificant splinter 



WORLD BRIEFS 


Berlusconi Mafia Remarks Draw Fire 


ROME (Reuters) — Opposition politicians sharply criticized 
Prime Minister Silvio Berlusconi on Monday for saying the Mafia 
was on insignificant force. 

The leftist opposition in Parliament, whose main force is i for 
former Communists, now known as the Democratic Party of the 


Left, d emand ed that the prime minister appear before the legists, 
lure’s anti-Mafia commission to explain bs comments. Mr. Ber- 
lusconi's remarks, made in Moscow during a visit on Oct. 14 and 
15. received wide coverage in Italian newspapers mi Sunday. 

“In Italy, the reality of the Mafia is nothing in comparison to 
the reality of good, hard-working people,'* Mr. Berlusconi was 
quoted as' saying. 'The Mafia is probably one ten-thousandth or 
one-miBionth of 56 million Italians," he said. "Are we going to let 
about 100 people give the world a negative image of Italy?” 


Afghan Election Plan Is Rejected 

PESHAWAR, Pakistan (Reuters) — Opponents of the Afghan 
president, Burbanuddin Rabbani, rejected his plan on Monday 


Peer □non/ Agence France' Prase 


for a traditional assembly to elect his successor and launched a 
rocket attack on Kabul that official radio said killed four people. 

Mr. Rabbani and three other mujahidin leaders announced aa 
agreement to convene the Loya Jirga, or grand assembly, to deci 
the next president. But the plan rules out any role for General 
Abdul Rashid Dustaxo, leader of the country's largest militia and 
a major ally of Prime Minister Gulbuddin Hekmatyar in iheanti- 
Rabbani Supreme Coordination Council. 

Militias controlled by Mr. Hekmatyar and General Dustaxn 
fired rockets into residential areas of Kabul on Monday, killing 4 
people and wounding 17, Kabul radio said. 


Gregor Gysi, left, parliamentary leader of Germany's Pam- of Democratic Socialism (ex-Cbnmnmist), getting a ltiss A ccaSlc PJiH‘/>nl „ . 

Monday in Berlin from Christa Luft, an aide of the former East Germany, as the PDS chairman, Lotitar Bisky, laughs. ^HtlCITRIMl ASS3I1S rOUUCfll 1 lUHUHg j 

PARIS (Reuters) — President Francois Mitterrand has called 


Seen From Brussels, Kohl Is Still Strong 


By Tom Buerkle 

[nl emotional Herald Tribune 


BRUSSELS — Although his 


no difference in the main policy splits over the Union while A Spanish diplomat said the 
direction between the Social jockeying for next spring’s pres- German coalition's reduced 
Democrats and the two govern- idential election. majority would not deter Mr. 


party,” Mr. Kohl said. “Ger- hold on German power was 
man democracy is stable, which weakened in the national elec- 


is one of the most important tion, Chancellor Helmut Kohl's 
results of the election as far as desire and ability to press for 


Swastikas Mar 
Holocaust Exhibit 


AgemeFrunce-Preae these pioblei 

ORANTENBURG, Genua.- (q seek agree 
ny — Two swastikas were dal Demon 
daubed on photographs in a weaker politi 
permanent exhibition at the Mr. Kohl, 
former concentration camp at ^te in history 
Sachsenhausen, near Berlin, the, in his jacket 
police said Monday. remind skep 

They were discovered by an parliaments 
employee at the museum, which been enough 
is boused in a former barracks fore. Willy 
used by prisoners. Some chancellor w 
200,000 people were deported edge over tht 


the country’s reputation abroad 
is concerned.” 

Foreign reaction to Mr. 
Kohl’s narrow victory was posi- 
tive, particularly from the other 
capitals of the European 
Union, the 12-nation bulwark 
that Mr. Kohl wants to expand 
to Eastern Europe. 

On the main Issue of concern 
to the Clinton administration 
whether Germany will be more 
willing to play a full part in 
peacekeeping and other mili- 
tary missions sanctioned by the 
United Nations, Mr. Scharp- 
ing's party is more skeptical 
about foreign missions than 
Mr. Kohl's. The Social Demo- 
crats took the government to 
the country’s highest court last 
summer in an unsuccessful 
challenge to the constitutional- 
ity of such missions. 

Mr. Kohl did not campaig n 
on a platform announcing any 
dramatic change, and has 
sought consensus in the past on 
economic policies. With 3.5 
million people unemployed and 
German economic strength un- 
der challenge from newly com- 
petitive economies in Asa and 
Eastern Europe, dealing with 
these problems will require him 
to seek agreement with the So- 
cial Democrats from,, a much 
weaker political posj^H. 

Mr. Kohl, who hS .Inntnr- 
ate in history, h ap r eady 


weaxer political posip 1 . 

Mr. Kohl, who or- 

ate in history, h ap r eady 
in his jacket pq/~ T«««£y to 
remind skeptic* 3r CT 3at 
parliamentary^ d 

been enough to govern with be- 
fore. Willy Brandt became 
chancellor with only a 12-seat 
edge over the Christian Demo- 


te Sachsenhausen from 1936 to crats in 1969, he said, and 


1945, half of whom died. 

In 1992, arson destroyed a 
camp barracks used by Jewish 
deportees at Sachsenhausen 
that housed another museum. 


Chancellor Helmut Schmidt 
held onto power with a 10-seat 
majority for six years after Mr. 
Kohl nearly unseated him in 
1976. 


For business women 
going places, 
here’s the place 


to stop. 


A 

THE LANDMARK 


OF RANGKOK 


S U A\V\ I T 


13-S Sukhumvit Rd.. Bangkok 10110, Thailand. 
Fax lo62> 253 4259 " Tel l6o2> 254 0404 


77v Landmark of London is rise Royal Lancaster Hotel 


Promote 

Foreign 

Affairs 



deeper European integration 
appears very much intact, Ger- 
man and European officials 
said Monday. 

Mr. Kohl's bargaining power 
in the European Union is stron- 
ger than his 10-seat parliamen- 
tary majority suggests because 


Democrats and the two govern- 
ing parties,” an EU diplomat 
said. 

While Mr. Kohl's Christian 
Democratic Union has enunci- 
ated a clear proposal for re- 
forming the EU ahead of a cru- 
cial 2996 EU conference, most 
of his fellow leaders are ducking 
the issue because of big rifts at 
home, officials said. 

A recent call by the Christian 
Democratic Union for a hard 


At his first postelection news Kohl's aims for Europe but 
conference, Mr. Kohl said could make him more flexible 


Monday that “building the Eu- in achieving them. 


“They arc sufficiently strong 


PARIS (Reuters) — President Francois Mitterrand has called 
for a ban on the financing of political parties by companies as 
corruption scandals jolt the center-right government of Prime 
Minister Edouard Balladur. 

Mr. Mitterrand said that he was convinced that such funding 
creates unhealthy relationships between political leaden and 
company managers, be told the daily Ouest- France in an inter- 
view to be published Tuesday. “Let us ban this, and impose a 
ceiling on spending and measures on stale financing and there win 
be less suspicions surrounding political life,” he said. 

“My experience teaches me that money has never decided the 
outcome of a poll, but many candidates have thought it does and 
have made mistakes.” Mr. Mitterrand said. 


t u:_ c . . tucy uc suinuniuv suvuic 

S3SW-Jr*S U.K. Pair Held in Romania Ask Aid 


uiau U4ic. as uic ujanuuu a f nr .f 

plan spells out, that includes 

PI i ™ Terror;™ S^on, he said, and suffi- 


deepening EU integration to ^th a n^row r^- 

S'nSnlTSs of *: fiSS&’SHW* It ’ S «° 0d 


A recent call by the Christian past while extending the bloc's °P e ' 

Democratic Union for a hard frontiers to project stability and Perhaps more important for 
core of five EU countries to prosperity into Eastern Europe. Europe than Mr. Kohl’s major- 
move faster toward a single cur- “If the Germans don't realize ity was the reduced electoral 
rency and closer political coop- now that German unity as a support for the far-right Re- 
era tion has provoked little de- historical event will be wasted if publican Party, which opposes 
bate in France, for e.iample. we don't press ahead in parallel the Union as part of its xeno- 


the opposition is deeply divided 
and the Social Democrats, 


and the Social Democrats, 
which dominate it, share his vi- 
sion of closer political and eco- 
nomic cooperation between EU 
member states, officials said. 


bate in France, for e.iample. 


Both the ruling conservative co- with European unity, then there phobic policies, this diplomat 
ali tion and the Socialists are : ' r — r ' " “'tn.ot ir fn* 


“On European affairs, there's seeking to avoid their internal 


is no hope for the Germans.* 
Mr. Koh said. 


That is good for every- 


LONDON (AP) — The British couple convicted of trying to 
smuggle a baby out of Romania appealed Monday to Prime 
Minister John Major to intervene in their case. 

Bernadette Mooney, 40, said in a British television interview: 
“We just do not know which way to turn. It is just bell. I cannot 
explain how we fed. It is just so awful. The prospect of going into 
prison is just so unthinkable.” 

She and her husband, Adrian, 42. were sentenced Friday to 28 
months in prison for trying to take a 5- month- old girl out of the 
country. They are staying in a rented apartment in Bucharest with 
their 3-year-old daughter, whom they legally adopted in Romania 
in 1991, pending their appeal 


Pro-EU Nordics Bolstered by Finnish Vote 


TRAVEL UPDATE 

New Air Terminal Set for Frankfurt 


International Herald Tnhune 

BRUSSELS — Pro-Europe- 
an Union forces in Sweden and 
Norway claimed fresh momen- 
tum for their membership am- 
bitions on Monday following 
the vote in favor of EU entry by 
Finnish voters. 

In Finland, the final margin 


hoped for ahead of ballots in 
more skeptical Sweden on Nov. 
1 3 and Norway on Nov. 28. 

“The important thing was 
that it was a very, very clear 
result,” said Mats Erikson, a 


spokesman for Prime Minister Sunday night. 


Brundtland urged voters in 
Norway, which rqected EU 
membership in 1972. to follow 
the Finnish example this time. 

"One piece of the puzzle has 
now fallen into place.” she said 


border, and strengthens the EU 
forces led by Germany that 


want to tum next to incorporat- 
ing such East European states 
as Poland. Hungary and the 
Czech and Slovak republics. 


FRANKFURT (AFX) — Lufthansa German Airlines said $ 
and the company that operates the Frankfurt airport would invest 
more than $300 million the next three years in a terminal for the 
airline’s use. 

Aside from Lufthansa, the terminal will be used by partner 
companies, such as United Airlines and Thai Airways. Lufthansa 
said. Most of the work will be completed by 1996 and the entire 


of 57 percent to 43 percent was 
slightly below expectations, ov- 


Ingvar Carlsson of Sweden. 
Mr. Carlsson proclaimed 


The two prime ministers 
compared strategies when Mr. 


‘We are crossing border lines P 1 ^ 1 » expected to be finished by the summer of 1998. 

-■ • _ i .i n « — ■ - r l i n i 


slightly below expectations, giv- 
en a more than 60 percent “yes” 
vote in advance returns last 
week, and lagged behind Aus- 
tria's 67 percent vote in favor of 
membership in June. 

Still officials said it was just 
the type of signal they had 


himself “very pleased" when Carlsson traveled to Oslo on 
the result came in Sunday, say- Monday for talks. 


ing it eliminated the main alter- Much more than Austria's 


native put forward by cam- approval in June, the Finnish 
paigners for a “no" vote: that vote portends a historic shift in 


the Nordic countries form their the European Union's direc- 
own union to better protect tion. It takes the bloc directly to 


their interests. 


Russia, with which it will share 


Prime Minister Gro Harlem a 1,270-kilometer (790-mile) 


which were drawn up by the The first two cases of cholera have been identified in Bucharest, 
Cold War,” a senior Foreign an official said Monday. More than 60 cases have been reported in 
Ministry official said in Bonn. Romania over the last month, mainly in rural areas. (A?) 
“The Union is visibly taking on A record 21.9 nrilEon tourists will visit Portugal this year, a 

responsibility in an undivided tourism official said, adding that tourism revenue would be up 3 
Europe." ^ percent to 4 percent over last year. (Reuters) 

* a ,‘ . Singapore’, air quality on Monday was at its best since a heavy 
ment is but a step ^ to warn lur- of smog settled over the island state two months ago, an 

ther enlargements that will Environment Ministry official said. But the ministry said it was 
bring Eastern Europe on board. l00 soon to pronounce the lingering haze, which has also covered 
— TOM BUERKLE parts of Malaysia and Indonesia, officially dispersed. (Reuters) 


Queen Visits Russia, Mending Rift Begun by Czar’s Slaying 


By Margaret Shapiro Buckingham Palace aides in Mos- 

Washinpon Past Service cow spent much of Monday playing 

MOSCOW — Queen Elizabeth II down the scandal caused by the boot 


Buc k i ngh a m Palace aides in Mos- mini-monarchist boom, with some commentator, Nikolai Svanidze. “She friendly relations, the British govera- 
cow spent much of Monday playing polls showing as many as 18 percent of has a unique gift to carry out her ment refused to give Nicholas political 


arrived in Russia on Monday for a visit in which Charles said he never loved archy. Nostalgia about Nicholas II royal dignity.” 

— i !■ u. ti tm f evt j c - f _ _i_ _ r . _ j ... j* j l? nn.^iL n; 


Russians favoring a return to the mon- mostly rejaresentative functions with asylum after he was overthrown in 


1917, apparently because George 


that draws a symbolic dose to seven his wife and suffered from a lack of and his family, who died with him, has Whether Elizabeth will say anything feared an upsurge of antimonarchlst 

d\f rrvtml #Anmpw4 an/4 Q nmin i»nr! nni n* nnmilnr L. __ J * a? - ■ T** ■ a 


decades of royal frostiness toward affection and a domineering father at 
Russia for the assassination of Czar home. 


become popular. Recently, a monar- publicly during the trip about her dis- sentiment in England 


Nicholas IL a distant cousin whose 


one. chist party has started up. And a teen- tant cousin, the last Russian czar, was 

Russians, however, seemed less in- age descendant of Nicholas DPs, who unclear. She will visit the church in St. 


murder at the hands of Bolshevik revo- t crested in the newest royal dustup fives in Europe and is said to be the Petersburg where czars are buried and 

ItlH/WittnM rn 1 0 1 fi mw\Ad*d\ ilia mnnar tfiaffl 111 Af TiOintm mol i*Aifolfir ivilianiAr rtf ilia DAmAfirar fkmna Lnc dfliani in ilia 1- . 


lutionaries in 1918 ended the monar- than in the glitz of having real royalty inheritor of the Romanov throne, has where, in the spring, Nicholas's bones and economic 


Lingering hostility about the fate of 
Nicholas had prevented a royal trig 
until now. But the dr ama tic politic? 


chy here. 


here ag a i n. Newspaper and television been treated with growing respect, are to be buried. The bones were re- years apparently 


The royal visit, which British offi- coverage of this first visit by a r eigning even in official circles here. 

Vfnlr rnnn^rtrrt^ Ana tka * — Drvfich mAfiorr'k * pavaml /lot IP Xlflnvi rn Diterta 


of the last few 
iged minds in 


dais considered one of the queen’s British monarch began several days 
most important foreign trips, was ago and continued at a fast pace Mon- 


overshadowed before it began by the day, with particular focus on the glitter arch could be. “In my opinion, Eliza- 
furor in England over anew biography and the generally warm feelings most beth is the perfect advertisement for 
of Prince Charles, Elizabeth’s son and Britons have toward Elizabeth. the monarchy, of course a constitu- 

hdr. Russia itself is in the middle of a tional monarchy” said a television 


even m official circles here. cently uncovered from the pit near London, and Buckingham Palace re- 

Many m Russia dearly see Elizabeth Yekaterinburg where his Bolshevik as- sponded positively to an invitation by 
as a modd of what a modern-day mon- sassins hid them in 1918. President Boris N Yeltsin. Other 

arch could be^In my opinion, Eliza- Elizabeth's grandfather. King members of the royai family, including 
beth is the perfect advertisement for George V, and Nicholas were first Prince Philip, the queen’s husband. 


ourse a constitu- cousins and looked almost like twins, and her son Charles, have previously 
said a television Although the two monarchs had been to Russia. 


WARNING: REPUBLICANS THREATEN 
TO SEIZE U.S. SENATE 

Bob Dole, PMl Gramm. Jesse Helms and OOie North 
guarantee return to gridlock. That's the threat! 

Rght back. Vote now tor Democrats. 

Only file Democratic Majority wi continue constructive change. 

Voted baflots are due soon, by Nov. 4 in some states. Mat yours Immediately 
or use Hu ftw DHL Worldwide Express service by Nov. 1. 

If you haven't received a ballot by Oct. 24, but have apftfed, get a Federal write- 
in ballot as a substitute from you Consular voting ofilcer or Democrats Abroad. 

Democrats Abroad 

Fax U.S-* (703) 768-0920 • Fax Europe (Rome): (39-6) 487 11 49 
Paid lor by Demean Abroad 


New NATO Chiefs No. 1 Goal: East as Partners 


The Associated Press 


BRUSSELS — NATO’s new secre- 
tary-general began his job on Monday by 
saying that the Western alliance should 
give top priority to extending its “securi- 
ty and stability" to former foes in East- 
ern Europe. 


Willy Claes, on his first day in the 
North Atlantic Treaty Organization's 
top civilian post, said the West should 
work with its “new partners to the East” 
to widen the security community. 


“This is a historic duty, and I consider 
its realization the No. 1 goal of my ten- 
ure,” said Mr. Claes, who was previously 
Belgium’s foreign minister. 

Mr. Claes was chosen by the Atlantic 
alliance's 16 member nations to succeed 
Manfred Worrier of Germany, who died 
of cancer in August after six years as 
secretary-general. 

Mr. Claes did not refer to differences 
among the allies over the pace of opening; 
up NATO to new members from the old 
Warsaw Pact. 


Defense Minister Volker Rfihe of Ger- 
many is leading calls within NATO for 

f..lt I . *_ 


full membership lobe granted muddy to 
Poland, Hungary, the Czech Republic 
and other former East bloc nations clam- 
oring for an extension of the alliance’s 
guarantee that an attack on one member 
is considered an attack on all. 


Mr. Claes also avoided direct com- 
ment on the latest disagreement between 
NATO and the United Nations over the 
scope of allied action in Bosnia. 


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INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 






THE AMERICAS / P E^AL 

For 400 Worst Convicts, a New Prison With a Vengeance 


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By Francis X. Clines 

yiorfc Tima Service 

FLORENCE, Colorado — A pastel 
.penitentiary, of mirror-glass gun 
towers and hermetic cells opens its 
sted doors next month as the first 
federal prison ever custom-built for 
the “predatory** 400 worst convicts in 
the nation’s booming penal system. 

The new, $60 miTli rm Administra- 
tive Maximum Facility glints here at 
the foot of the Rockies as impressive 
evidence of society’s wrath ana penol- 
ogy’s adaptability as America’s rate of 
imprisonment continues to rise to five 
times that of -Western Europe's. 

Ins id e, the prisoners will find a su- 
per-controlled environment that en- 
forces a hard-edged solitude to contain 
the risk of social mixing and violence. 
Even the cell windows deny them all 
views of the outside except the sky 
above. 


■ ■ Z W ? i ty "? ve flowed the tenting Project a nonprofit prison have been stressing that crime preven- maroon, staggers the cells so that one 

Pi? 5 ?? 5 *?.®® watchdog orga niza tion, say the prison tion and prison rehabilitation are be- inmate cannot make eye contact with 

" ' ’ ing neglected by politicians in favor of his neighbors. Each cdl has a double 

dramatic lock-up mandates exempli- entry door, with the classic barred cage 


^ The prison is a study in penal futur- 

-fdjii i r ism. It is the state-of-the-art diadem in 

' * * * HV1J America’s growing prison kingdom in 


Mttait 
,4 r . 




m 

;K •« 


"■ ■■ c 


America’s growing prison frmgrfam fa 
which the maximum-security level of 
' heightened confinement has become 
something of a rage among the states, 
too, since it was introduced in 1983 by 
federal prison officials. 


“maxis,” and six more are p lanning 
such prisons. Ail involve techniques 
that limit the movement of dangerous 
prisoners beyond their cells to an hour 
or less a day, and then only with leg- 
irons, handcuffs and an escort of two 
or three guards per inmate. 

This approach, resorted to after the 
murders of federal corrections officers 
by hard-core inma tes sentenced to 
prison for life, is a stale of individual- 
ized captivity. Less than 1 percent of 
inmates are subjected to its rigors, but 
it operates as a systemwide, worst-case 
deterrent in focusing on inmates rated 
unusually disruptive, predatory or es- 
cape-prone. 

The new prison here further limits 
the risks of mobility by providing each 
inmate his own in-cell showra stall, 
with flood-proof plumbing controlled 
by monitoring guards. And each has 
his own television set, but in strict 
black-and-white on a 12-inch (30-cen- 
timeter) screen lest law-abiding tax- 
payers be roused by the notion of a 
felon free to stare at life in living color. 

Critics tike Marc Mauer of the Sen- 


opening cointides with' the 'latest 
round of federal legislation that will 
seed billions of dollars more in prison 
construction, after a 20-year period in 
which the nation already quadrupled 


APOLITICAL NOTES A 


Democrats Put On Happy Face, for Now 


A hard-edged solitude 
is enforced, to contain 
the risk of social 
mixing and violence. 

its prison and jail population. The pris- 
on population has grown to 1.4 million 
from 330,000 in 1973. with more 
growth certain under the “three strikes 
you're out” laws being enacted on fed- 
eral and state levels. 

u I*m constantly amazed that ‘getting 
tough' is treated' as a new idea,” Mr. 
Mauer said of the recent debate over 
the federal crime bill. “With four times 
as many people already in prison now, 
do you know anyone who really feels 
safer?” 

Correction professionals, he added. 


fied by the trend toward maxim um 
security. 

The new prison here is intended as a 
learned behavior capsule, with room 
for 416 inmates to progress back to 
general population life, cafeteria meals 
and group socializing if they cease mis- 
behaving during three years in maxi- 
mum security. Cells are larger than 
industry standards because of the 23- 


door backed up by a windowed steel 
door that minimiz es voice contact 
among prisoners. Near the end of a 
three-year tour, a successful inmate 
gradually regains social contact. 

“What puts a man in is his behavior, 
and what gets a man out is his behav- 
ior,” said John M. Yanyur, the asso- 
ciate warden, who noted that the new 
federal anti-crime law bad introduced 


hour days lived within them. But they the death penalty for an inmate's mur- 
are designed to resist vandalism, with der of a prison officer. 


the felon’s bed, desk, stool and book- 
case all made of reinforced concrete 
anchored in place. 

The shaving mirror is of polished 
Steel deeply riveted to the wall to pre- 
vent the making of shivs and other 
weapons. Matches and cigarette 
lighters, the proven stuff of explosives 
in other prisons, have been replaced by 


There was no such penalty when the 
maxi approach of manacled manage- 
ment was introduced after die slaying 
of two guards at the high-security fed- 
eral penitentiary in Marion, Illinois. 

The United States recently slipped 
to second place in the rate of imprison- 
ment as Russia, plagued by a post- 
Communist wave of street crime and 


a simple hole-in-the-wall apparatus for corruption, rebounded to firsL Russia 
bghtmg cigarettes. Meals are dis- has 55 S ne 


praised in separate trays through slots. 

The maxi design, with cordons of 
cold steel painted in soft green and 


has 538 people is prison per 100.000 
citizens, while the United States has 
519. West European rates range from 
60 to 100. 


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Republicans Revive 
The Reagan Dream 

But Can They Make It Work? 


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By Richard L. Berke 

New York Times Service 

MUNCJLE, Indiana — Recall 
the glory days of Ronald Rea- 
gan. Attack Bill Clinton. Forget 
George Bush. Avoid trouble- 
some social issues like abortion. 
Attack Washington. Move to 
the right. 

Six years after Mr.' Reagan 
left the White House and two 
years after Mr. Bush lost the 
party’s hold on it. Republican 
candidates around the country 
are once again trying to revive 
the Reagan legacy and, to some 
degree, his conservative legisla- 
tiveagpmda. 
i -4i. ?, An examination of cam- 
paigns far the House, the Sen- 
ate and pivcrnorships national- 
ly found that Republican 
candidates willing to call them- 
selves moderates have all but 
disappeared. 

Former President George 
.Bush, who is still kept at arm’s 
lengthby the party’s right wing 
despite ms fumbling embrace erf 
it during the 1992 party conven- 
tion, gets not even a passing 
reference from most candi- 
dates. 

Still, this second attempt at a 
Reagan Revolution appears to 
be falling short of growing into 
a national legislative agenda, 
particularly the effort by Rep- 
resentative Newt Gingrich of 
Georgia, the House Republican 
whip, to unify House candi- 
dates with a grand agenda 
called "Contract With Ameri- 
ca.” 

Although the contract reads 
like the Reagan playbook, 
promising to cut taxes, increase 
military spending and balance 
the budget, many candidates 
are more comfortable espous- 
ing conservatism on their own 
toms. That leaves Mr. Clinton 
"ji as the single theme that is galva- 

■ nizing Republicans. 

“This election is going to be a 

referendum on Ctintamsm ver- 
sus a more conservative agenda 
that Ronald Reagan and Dan 
Quayle articulate, said David 
McIntosh, a Republican run- 
ning for the House in the Sec- 
ond Congressional District here 
in east central Indiana. “My 

* platform is for lower taxes, less 

* government and restoring Hoo- 
I sier values.” 

* Mr. McIntosh, who is seeking 

* Ihe seat being vacated by Rep- 
. resen tative Philip R. Sharp, a 

■ Democrat, was among more 
! than 300 Republican candi- 


dates who marched to the steps 
of the Capitol last month to 
sign the contract But back at 
home, Mr. McIntosh is noi 
making much of the document 
Rather, he, like many other Re- 
publicans who trooped to 
Washington, is using the Rea- 
gan mantle in large part to de- 
fine what he is against 
In front of his headquarters 
in San Diego, Brian Bilbray, a 
Republican who is trying to un- 
seat Representative Lynn 
Schenk, a first-term Democrat 
also sounded a conservative call 
to arms: “The public is really in 
a state of mind where it’s ready 
for a revolution.” 

Yet he, too, was reluctant to 
make too much of the contract 
asserting that its goals “are not 
exactly the Ten Command- 
ments.” 

Mr. Gingrich’s strategy in 
trying to “nationalize" the elec- 
tions has as much to do with 
trying to set a course for those 
Republicans who win as influ- 
encing the races in which they 
are running. 

Mr. Bilbray, a county super- 
visor, asserted that even if the 
Republicans did not win the 40 
seats they need to take control 
of the House, their ideology 
would eventually triumph. 

“A lot of Democrats will start 
changi n g their approach to pol- 
icy-making,” he said. 

But as a campaign tactic, it is 
the Democrats — eager to shift 
the political dialogue from at- 
tacks on Mr. Clinton — who are 
trying to keep the contract alive 
so they can depict Republicans 
as in lockstep with their leaders 
in foolishly advocating 
warmed-over Reaganomics. 

No one has tried to draw the 
line more sharply than Mr. 
Clinton, who has derided the 
contract in recent days as a re- 
turn to “failed policies of the 
past.” A new advertising cam- 
paign by the Democratic Na- 
tional Committee stresses the 
same point. 

The shift is particularly ap- 

S nt in Senate races, where 
rblican nominees are gen- 
y far more conservative 
than in decades. 

Here in Indiana, the 36-year- 
old Mr. McIntosh went so far as 
to lump Mr. Bush with Mr. 
Clinton, asserting that there are 
“similarities between Bush and 
Clinton” in that the core ideolo- 
gy of each man can be hard to 
pm down. 



AH, THOSE FOREIGN AFFAIRS — President BOI Clinton being briefed on the situations in Haiti and Iraq. 
From left are his chief of staff, Leon E. Panetta; the national security adviser, W. Anthony Lake; die chairman of 
the Joint Chiefs of Staff, John M. ShahkasbvHi; Vice President AI Gore; Secretary of State Warren M. 
Christ Ofrf ir; Madeleine K. Albright, the chief UN delegate, and Deputy Secretary of Defense John M. Deutch. 


WASHINGTON — With u solid week of campaigning 
under their bells and jus! three more to go before voters cast 
their ballots. White House officials have shed some of the 
gloom ihai hung over their view of the midterm election. 

"At least.” said one White House official, "we've gotten 
beyond the stage of feeling we had to just hide here arid sa> 
nothing. We're back on offense.” 

After seeming uncertain for weeks about what to sa\ to 
voters in the wake of a disastrous congressional finale. Presi- 
dent Bill Clinton now has a theme hcTs comfortable with — 
that voters should not allow Republicans to return the coun- 
try to the economic policies of the NSUs. 

At the same time, a week of good news on the foreign- 
policy front — the apparent backing down of Saddam Hus- 
sein in Iraq, coupled with the return of President Jean- 
Ben rand Aristide to Haiti — max have boosted Mr. Clinton. 

But even as his short-term prospects brighten. Mr. Clin- 
ton's aides acknowledge the king-term view is grim. 

Mr. Clinton came into office with a dear project in mind - 
to rebuild American faith in government, a faith that had 
been shattered by the Vietnam War. Watergate, social decay 
in the cities and two decades of slow income growth for 
middle-income families. 

Measured by how well they have met that goal. Clinton 
aides admit, their administration so far has failed. "We've 
really lost two years." a White House official said. “We're no 
closer than when we started." < LAT 1 

Clinton Takes the Middle Road on Judges 

WASHINGTON — While running for office two years 
ago. Bill Clinton promised to reshape the character of the 
federal courts, reversing the trend to the right under the 
Reagan and Bush administrations. 

But given the opportunity to choose more judges in his first 
two years than any president in history . Mr. Clinton has made 
selections that are not expected to change the ideologic.il hue 
of the bench, although they have won' high praise Tor their 
diversity and quality. 

The large number of judges who won confirmation in the 
final days of the Senate term brought Mr. Clinton's appoint- 
ments to a total of 129. of whom almost 60 percent are either 
women or minorities, compared with S percent lor President 
Ronald Reagan and 27 percent for President Jimmy Carter. 

Political scientists, legal scholars and nonpartisan groups 
like the American Bar Association who have studied the new 
judges’ records also said Mr. Clinton's choices were better 
qualified than those of Mr. Reagan or President George Bush. 

But. perhaps paradoxically, those observers expected the 
newcomers would do little to 'alter the courts. The new judges 
were deliberately chosen to fit squarely in the judicial m.iiu- 
stream and were, by and large, replacing liberal Democrats. 

While Mr. Clinton's appointments are not expected to 
undo the effects of the Republican years, according to legal 
experts, the crime legislation the administration pushed 
through Congress last month is expected to give a tremendous 
new impetus to a decade-long trend of transforming relatively 
minor infractions — historically the province of state courts 
— into federal offenses. 

Justice Department officials said that as a result of the new 
law. they expected a significant increase in the prosecution in 
the federal courts of cases involving teen-agers with handguns 
and gang violence. , .V YT ' 

Quote/Unquote 


Dee Dee Myers, the White House press secretarv. on polls 
showing public support for President Clinton is increasing: 
"The momentum is shifting to us. the Democrats.” i API 


U.S. Watchdog Unit 
Gets a Bad Audit 


u* 




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Away From Politics 


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J • Thunderstorms brought »P to 
V • 9 indies of rain across southeast 

• Texas early Monday and 
I caused extensive flash flooding 

'■ . that was blamed for at least two 

| drownings. Both deaths oc- 
curred when rising waters swqn 

> cars off roads north of Hous- 
, ton, where some of the worst 
. • flooding was reported, Sheriff 

^ | ■ Guy W illiams said. Two other 

.«• ’ persons were still missing. 

I • A nuclear plant ended tours 

- ■ after members of a chemistry 
| dub at the University of South- 

- cm Maine were exposed to ra- 

, “ dioactivc gas. 

• * A man who is serving a 100- 
’ year sentence for murdering a 

federal witness and three CBS 
S V in New York City 

I m 1982 kiBed a fellow inmate at 

• Aabum Correctional Facility, a 
./ ’ suae prison official said. 

»-• A woman running bps around 
! 0»e resenw in Manhattan’s 

• Central Park at night was seized 
J from behind ana raped by a 
, man wielding a knife, a few 

blocks from where another jog- 


• Five people were found sbot to 
death inside a bar, the police 
gaid in Bir mingham, Alabama. 
The two women and three men 
were discovered just before 
noon* 

j IP. MT 


By Robert Pear 

New York Times Service 

WASHINGTON — The 
government's watchdog agency, 
die General Accounting Office, 
has strayed from its original 
fact-finding mission and tar- 
nished its reputation for objec- 
tivity by becoming an advocate 
for policy changes, an indepen- 
dent evaluation of the agency 
says. 

The study, in effect an audit 
of the government’s top audi- 
tors, was issued last week by a 
panel of experts from the Na- 
tional Academy of Public Ad- 
ministration, a nonprofit orga- 
nization chartered by Congress 
to increase the effectiveness of 
government at the federal, state 
and local levels. 

Lawmakers continually cite 
the accounting office’s findings 
in deciding whether to create, 
abolish, cut or revise programs. 
But in recent years, legislators 
of both parties have expressed 
concern that the agency some- 
times seemed more eager to 
make policy pronouncements 
than simply to provide informa- 
tion. 

Republicans in particular 
have complained that the ac- 
counting office has become a 
tool of Democrats in Congress. 

The agency issues reports on 
many volatile issues, including 
health care, immigration ana 
trade. It alerted Congress to 
problems in the savings and 
loan industry long before most 
people were aware of them. It 
has documented problems in 
dozens of weapons programs 
like the Bigeye chemical bomb. 


the B-2 bomber and the Seawolf 
submarine. 

The bead of the accounting 
office. Comptroller General 
Charles A. Bowsher, defended 
the agency’s independence and 
said, “We" always strive to pre- 
sent our findings in a balanced 
manner.” He added that the 
agency's recommendations 
were never based on “political 
or ideological considerations.” 

The study described the ac- 
counting office as an invaluable 
institution and found “no evi- 
dence of deliberate partisan 
bias” in its work. 

But it said the office “seems 
to be exceeding its appropriate 
role” by venturing mto the 
analysis and development or 
public policy. 

The report found “no evi- 
dence that GAO has been steer- 
ing its research toward satisfy- 
ing particular policy or partisan 
interests.” 

But it said the accounting of- 
fice “should not risk its reputa- 
tion for objectivity by moving 
into policy advocacy." 

The report recommended 
that the agency be more selec- 
tive about the kind of work it 
takes on and said Congress 
should be more careful about 
the kinds of requests it makes of 
the agency. 

With 4.581 employees, 26 
field offices and a budget of 
$443 million this year, the ac- 
counting office is busier than 
ever. It issued 1,115 reports and 
4,200 legal rulings last year. It 
estimates it has saved *3107.6 
billion for the government over 
the last five years. 






gar was beaten and raped by a 
police 


„ of youths in 1989, ^ 
said. It was the 1 1th rape m the 
park tins year, up from nine in 
all of 1993 and four in 1992, the 
authorities raid. 


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Hanoi and Beijing Swap Claims 
Of Violations in Gulf of Tonkin 


Agave Frtvue-Prase 

HANOI — Tension rose 
abruptly between China and 
Vietnam on Monday after Ha- 
noi accused Beijing of “system- 
atic and unacceptable” viola- 
tions in the Gulf of To nkin. 

Reacting to official protests 
from Beijing over the disputed, 
area, the Foreign Ministry also 
warned that Vietnam reserved 
its right to “defend its territorial 
waters” should they come un- 
der threat 

“Vietnam has already made 
it clear to China that Chinese 
fishing boats have systematical- 
ly violated not only our exclu- 
sive economic zone, but also 
our territorial waters," a minis- 
try spokesman said. 

The ministry assailed China’s 
territorial claims in the Gulf of 


.calling the 
of the United Nations Maritime 


Convention and “the sovereign- 
ty of Vietnam's exclusive eco- 
nomic zone and its continental 
shelf.” 

The criticism came just over a 
month before President Jiang 
Zemin is to make the first visit 
to Vietnam by a Chinese head 
of state since the two countries 
agreed to set aside their differ- 
ences and normalize relations 
three years ago. 

Last week, China filed an of- 
ficial protest with Vietnam, and 
a Foreign Ministry spokesman 
accused Hanoi of “gross viola- 
tions of its rights and sovereign- 
ty" in the Gulf of Tonkin. 

Beijing was angered that Ha- 
noi had sought offers from for- 
eign companies to develop oil 
deposits in the disputed area. 

China’s anger has been espe- 
cially roused by Vietnamese de- 
velopment plans in the central 


part of the Gulf of Tonkin and 
waters adjacent to the Chinese 
bland of Hainan. 

In June, Vietnam’s National 
Assembly ratified the 1982 UN 
Maritime Convention on ocean 
rights, an accord that Hanoi 
says legitimizes its claim to sov- 
ereignty over areas of the gulf 
and the “Eastern Sea,” known 
to the Chinese as the South Chi- 
na Sea. 

The two countries began dis- 
cussions on demarcation in the 
Gulf of Tonkin after Prime 
Minister Li Peng of China visit- 
ed Vietnam in December 1992. 
but there has been no resolu- 
tion. 

Since then, the Vietnamese 
state concern PetroVietnam has 
been charged with canying out 
oil exploration in part of the 
contested area, in association 
with foreign companies. 


Singapore Police Question 
U.S. Scholar on Commentary 


Reuters 

SINGAPORE — A Singa- 
pore-based American scholar 
who wrote a newspaper opinion 
piece criticizing Asian govern- 
ments was questioned by the 
Singapore police on Monday, 
the professor said. 

The American, Christopher 
Lingle, a senior fellow in Euro- 
pean studies at the state-run 
National University of Singa- 
pore, said he was questioned for 
90 minutes in his office by two 
Singapore police officers. 

Singapore Ministry of Home 
Affairs and police spokesmen 
were not immediately available 
for comment. 

Professor Lingle, a 46-year- 
old Atlanta native, said the in- 


To subscribe in Germany 

just call, fofl free, 
013084 85 85 


vestigators . were accompanied 
by a university officiaL Profes- 
sor Lingle said the officers told 
him that they were conducting 
an investigation into charges of 
contempt of court and cr iminal 
defamation based on a com- 
mentary he wrote that was pub- 
lished Ocl 7 in the Internation- 
al Herald Tribune. 

The article, titled “The 
Smoke Over Parts of Asia Ob- 
scures Some Profound Con- 
cerns,” disputed an opinion 
piece by a Singapore Ministry 
of Foreign Affairs official pub- 
lished in the Herald Tribune on 
Ocl 1. Professor Lingle's com- 
mentary referred to unidenti- 
fied “intolerant regimes in the 
region” and made critical com- 
ments about the judiciary in 
some. 

The interrogators asked for 
Professor lingle’s original tran- 
script and also for his research 
documents, he said. Professor 


Lingle said he handed over 
about 100 periodicals — includ- 
ing The Far Eastern Economic 
Review, The Asian Wall Street 
Journal and The Economist — 
both from his office and later 
from his home when the officers 
met him there. 

Professor Lingle said he was 
questioned intensively on 
whether a reasonable person 
would conclude that his article 
had impugned thejudiciaiy and 
undermined general order in 
Singapore. He said he agreed to 
meet the officers again on Tues- 
day morning to hand over his 
original manuscript. 

Professor Lingle is 13 months 
into a two-year contract at the 
National University. He said 
that he had published about 12 
articles in the international 
press in the last year but that 
this was the first tim e he has 
been directly questioned by the 
government 


US. Talks 
With Korea 
Remain in 
Deadlock 


The Associated Press 

GENEVA — Negotiations 
between Lhe United States and 
North Korea on Pyongyang's 
nuclear program remained 
deadlocked Monday with no 
progress reported at a three- 
hour session among technical 
experts. 

A statement from the U.S. 
diplomatic mission said that no 
time had been fixed for further 
meetings. 

In Beijing, Defense Minister 
Chi Haotian told Defense Sec- 
retary William J. Perry that 
China would try to use i is good 
offices to end the impasse in the 
Geneva talks. 

“There is a desire on the part 
of the Chinese that Lhe Korean 
Peninsula remain nonnuclear." 
a U.S. official said after the 
meeting. “They do not want to 
see a North Korea with nuclear 
weapons.” 

China is a traditional ally of 
Communist North Korea and 
so could be used to mediate in 
the dispute. 

The talks are aimed at flesh- 
ing out an outline accord, 
reached in August. In that 
agreement, Pyongyang offered 
to open up its nuclear facilities 
to international inspection and 
scrap its atomic power pro- 
gram, which uses old-fashioned 
technology that can produce 
bomb-making plutoni um 

In return, Washington of- 
fered low-level diplomatic links 
and help in providing North 
Korea with more modern nucle- 
ar power plants. 

Since then, little progress has 
been made. 

Hopes of an imminent break- 
through early Saturday were 
dashed that evening when a 
meeting ended in acrimony. 

The chief U.S. negotiator, 
Robert L. Gallucci, had an un- 
scheduled meeting with his 
North Korean counterpart, 
Kang Sok Ju, on Sunday, but to 
no avail. 




•’.4 mtTK 

. i. ? i * 



J ScwAfTtorfftertfeANMiM to 

Machete-wielding vigilantes searching a Port-au-Prince slum for paramilitaries who hare brutalized Aristide supporters. 

Aristide Appeals for Justice as Mobs Roam 


INTERNATIONAL CLASSIFIED 


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ANNOUNCEMENTS 


IBANT HOLDINGS SA 


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lhe Conmny for lhe financial 
year* ended 31st December 1991 
rmd 1992. 

5 To approve the Babmce Sheet aid 
now and loss account for the 
mmod year aided 31st December 
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EntfS l ?wng ACvZurkhcB 
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odyear eafog 31st December 

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q Any Other maitea. 

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Today’s 

EDUCAnorv 

DIRECTORY 

Appears 
on Page H 


CacpileJ tv Our Stiff Fro Dispatches 

PORT-AU-PRINCE, Haiti — President 
Jean- Benrand Aristide renewed his appeal 
Monday for justice and reconciliation, just 
hours after a mob burned Lhe home of the 
mother of the new army commander. 

The mob burned the house belonging to 
the mother of Major General Jean-CLaude 
Duperval after a false rumor circulated 
late Sunday that G eneral Duperval had 
tried to assassinate Father Aristide. 

At least nine other houses and five stores 
also were burned in the city of Gonaives, 
including a house belonging to the grand- 
mother of a former junta leader. Lieuten- 
ant Colonel Joseph Michel Francois, and 
the homes of at least five noncommis- 
sioned officers. 

U.S. and Haitian security forces arrest- 
ed more than 100 people in Gonaives after 
the violence, a U.S. military official said 
Monday. 

The violence illustrated the daunting 
challenge Father Aristide faces in bringing 
Haiti into a new era of democracy. 

Father Aristide summoned General Du- 
perval to the National Palace on Sunday to 
discuss how io dismantle the military.* in- 
cluding cutting the army rosier b> SO per- 
cenL 

As several hundred Haitians waited out- 
side, unfounded rumors spread that the 
army chief had tried to kill Father Aristide. 


When General Duperval left, the crowd 
yelled and pounded on his car. Some in the 
crowd, carrying sticks and machetes, 
shouted: “Give us Duperval! We don’t 
want the army anymore!” 

On Sunday, two people were hacked to 
death as Aristide backers dashed with 
their former oppressors. At least 3,000 
people were killed under repressive mili- 
tary rule after Father Aristide was over- 
thrown in a coup in September 1991. 

In the Cite Soldi slum of Port-au- 
Prince, the Aristide stronghold that had 
often been targeted by the army, two doz- 
en Aristide supporters went on a machete- 
wielding rampage Sunday against mem- 
bers of the Front for the Advancement and 
Progress of Haiti. That pararoSitaty group 
killed and brutalized many Aristide sup- 
porters. 

When the vigilantes found one member 
of the group, Lorreuis Francois, they 
bloodied his wife’s face and tore her dress 
as she appealed to them to leave her hus- 
band alone. 

A neighbor persuaded them to leave. 
Less than two hours later, witnesses said, 
Mr. Francois came outside and angrily 
stuck a machete into the first person he 
saw, a pull-cart driver named Jean, killing 
him. 

The vigilantes returned and killed Mr. 


Frangcris, then burned a Haitian Army 
helmet and an olive drab umftinxa they 
found in his home. 

Father Aristide plans to trim the esti- 
mated 7,450-member armed : forces to 
1,500, although so many soldiers have de- 
serted that the military's current size is 
unclear. Some army office 
two coup leaders. Lieutenant 
Raoul C6dras and Coload Frances*, into 
exile. ' ; L 

Father Aristide left the t»0K* Monday 
for the first time since his restoration, 
briefly visiting the nearby. N&fionSl MusO' 
um on the day commemoratktg the assassa- 
nation in 1BD6 of the Haitian isSepen- 
deace leader, Jean- Jacques De$S*Rtics. .. 

As he left the palace, an^earthhsiastk: 
crowd mobbed his motorcade as it 
emerged from an estit, forcing Hto leave by 
a different route. 

Father Aristide met Sunday with Prune 
Minister Robert Malval, his cabinet and 
members of the House and Senate^ dis- 
cuss December legislative elections ami 
cooperation between the executive andYeg- 
islative brandies. 

The government is moving to identify 
human rights violators among HaitEs mili- 
tary so they can disarm and fire them, 
according to Mike Levy, an American aide 
to Father Aristide. (AP. Reuter*. AFP) 


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INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994‘ 


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In West Bank , Approval of the Kidnappers 5 Goal 


By Alan Cowell 

New York Tima Service 

AMARJ, Israeli-Occupied West 
Bask — When Nachshon Waxman. 
the Israeli soldier killed after being 
abducted by Islamic militants, was 
buried, thousands of Israelis poured 
into the darkness of the Mount Herzl 
military cemetery at midnight to 
mourn a man they considered their 
latest martyr. 

A Palestinian mother of four in this 
refugee camp near the West Bank 
town of Ramallah saw things in a 
different light. 

She preferred to focus not so much 
on the violent outcome — three kid- 
nappers and another Israeli soldier 
also died in the rescue attempt last 
Friday — as the stated goal of the 
hostage-talcing: to force the release of 
Palestinian prisoners from Israeli jails 
in mum for the soldier’s life. 

“We have families who have lost 
their sons, we have families with rela- 
tives in prison, we have families who 
paid the price of occupatio said the 
woman, who identified bcx&elf as Oum 
Ashraf, meaning mother of Ashraf. 

“So. people can justify that kidnap- 
ping,” die said. "It was legitimate. 
Thor sons are dear to them, and our 
sons are dear to us.” 


PEACE: 

Accord Is Initialed 

Cantoned from Pugt 1 

flown to Amman after a week 
dominated in Israel by the ab- 
duction and killing of an Israeli 
soldier by militants from the 
Islamic movement Hamas. 

The episode, which ended 
with the killing of the Israeli 
captive, another Israeli soldier 
and three Hamas guerrillas, 
seemed to highlight the prob- 
lems of Israel’s agreement with 
the PLO, many of them stem- 
ming from Palestinian militants 
opposed to peace. 

The initialing of the draft did 
not represent the end of negoti- 
ations. 

On Tuesday, officials from 
the two sides are to begin de- 
tailed taflrs on annexes to the 
treaty in the Jordanian. Red Sea 
port of Aqaba. Israel radio said 
the final signing ceremony 
would take place on Oct 27 in 
the bonier area between EDat 
*• and Aqaba. The agreement has 
also to be ratified by both par- 
liaments, an act regarded as a 
formality. 

Of the outstanding issues, 
water was the most far-reach- 
ing. 

According to Jordanian ac- 
counts, bout Israel and Syria 


Palestinians here and elsewhere in 
the West Bank echoed her view. None 
seemed ready to follow Yasser Arafat, 
the head of the Palestine liberation 
Organization, in condemning the kid- 
napping, which was carried out by 
members of the militant Islami c group 
Hamas. 

Their comments seemed to under- 
score a familiar collision of percep- 
tions here: Actions that appear as 
atrocities to one side are often inter- 
preted by the other as appropriate 
moves in a legitimate struggle. 

“What do the occupiers expect of 
us?” said Gbassan Safi, 25. a sociology 
student at Bir Zeit University, near 
Ramallah. 

The kidnapping ended when Israeli 
forces stormed a house just north of 
Jerusalem in the village of Bir Naba- 
lah. The Israeli authorities say the 
kidnappers killed Nachshon Wax- 
man, who was promoted posthumous- 
ly from corporal to sergeant. 

The episode brought new strains to 
the settlement between the PLO and 
Israel, which permits limited self-rule 
in the Gaza Strip and Jericho. 

Israel at first masted that its soldier 
was being held in Gaza, not Israeli- 


occupied territory. Under pressure 
from the Israelis, the Palestinian po- 
lice rounded up hundreds of the Is- 
lamic militants in Gaza who oppose 
the agreement with Israel. 

For some Palestinians, this was a 
new setb;u.k to Mr. Arafat’s credibil- 
ity. 

“Arafat is in bad shape,” sad Ibra- 
him Saeed, 30, who sells shoes. “He is 
embarrassed because the Israelis 
made him their tooL He became an 
instrument, not a decision-maker.” 

The 60-year-old co-owner of a taxi 
company in Ramall ah said, “The 
hopes which Arafat gave us as a result 
of this settlement are going to disap- 
pear" 

A woman in this refugee camp who 
identified herself as Oum Abed said; 
“There are limits to everything, and 
Arafat has reached his limits because 
the Israelis didn’t give in n anything 
They didn't give him the opportunity 
to achieve peace.” 

At the core of the frustration of 
many Palestinians lies Israel's refusal 
to release more of the thousands of 
prisoners it is holding. That is another 
reason why many Palestinians were 
prepared to support the abduction of 
Corporal Waxman, people said. 


“They express their support for this 
act by Hamas because they look at it 
from one angle — the angle of the 
prisoners,” said Ahmed Deck, a senior 
member of Mr. Arafat’s Fatah move- 
ment in the West Bank 

“Every woman wants to see her son 
released, and if this isn't resolved the 
kidnappings will continue,” said Oum 
Abed, who has six sons and four 
daughters. She said one of her sons 
had died in the uprising and the other 
five had all been detained by Israel at 
one time or anoLher. 

But there are other considerations 
that touch on basic ways of doing 
business. Where Israeli leaders insist, 
as Prime Minister Yitzhak Rabin did 
Friday night, that there can be no 
bargaining with terrorists, many Pal- 
estinians felt there was still time to 
talk. 

, “Our understanding was that there 
could be an extension of the ul tima - 
tum," Mr. Deck said. 

Ibrahim Barghoutti. a lawyer in Ra- 
mallah said that “Mr. Rabin made a 
very big mistake.” 

“He could have tried a political 
way,” he said, “but he chose the mili- 
tajy way, and it came to a veiy bad 
end.” 




Iraq, in Unexpected UN Rebuff, 
Refuses to Recognize Kuwait 

U.S.-Russian Rift Over Sanctions Deepens 


action, strong ac- 


By Julia Preston UN measures. “Next time, 
Washington Paa Service probably not wait.” be : 

UNITED NATIONS. New *^We wiu take action, stronj 
York — Iraq failed to recognize don” against Mr. Saddam, 
the sovereignty of Kuwait on Mr. Aziz limi ted hUHSC 
Monday in a special Security resta ting the terms of an a{ 
Councfl session, rebuffing in- meat that Mr. Kozyrev st 


UN measures. “Next time, we’U gued that the Security Council 
probably not wait.” be said, should establish a six-month 


testing period to see if Iraq con- 
tinues to cooperate with a UN ' 


Mr. Aziz limited himself to commission monitoring and 
restating the terms of an agree- dismantling its weapons of | 


Cbuncfl' session, rebuffing in- meat that Mr. Kozyrev struck 01355 destruction. After that, 
temarional expectations, while in Baghdad last week Iraq said ?* e crn^cil should consider lift- 
the United States and Russia it would “positively resolve" the mg sanctions, he said, 
clashed over lifting sanctions issue of Kuwait's borders, and Although Kir. Kozyrev met 
against Baghdad. Russia pledged to campaign for Monday morning in New York 


The meeting, which brought a fixed time limit for the Securi- 
some of the sharpest verbal ty Council to lift a global trade 
sparring in recent times in the embargo that has crippled 
council chambers, was called to Iraq's economy. The accord 
hear Foreign Minister Andrei raised hopes that Mr. Aziz 
V. Kozyrev of Russia and Tank would use the high-profile fo- 


Aziz, the Iraqi deputy prime rum of the United Nations to 
minister. Baghdad showed that declare Iraq's formal recogni- 
il remains reluctant to renounce tion of Kuwait, 
its territorial claims to Kuwait, .. . . . , . . . . 

and embarrassed Russia in onl ^ l « at 9“ 

front of an assembly of mid 


issue of Kuwait's borders, and Although Kir. Kozyrev met. _ 
Russia pledged to campaign for Monday morning in New York ' 
a fixed time limit for the Securi- with Mr. Christopher, they were 
ty Council to lift a global trade not able to close the divide over 
embargo that has crippled Iraq. Mr. Kozyrev, in his UN 
Iraq's economy. The accord speech a few hours later, criti- 
raised hopes that Mr. Aziz cized the United States for a 
would use the high-profile fo- “hasty” and “inadequate and 
rum of the United Nations to misguided” reaction to his ac- 
d eel arc Iraq's formal recogni- cord with Mr. Saddam, 
tion of Kuwait The chief U.S. delegate to the 

Mr. Aziz said only that the United Nations, Madeleine K. 


P< AW f ,iVlv«no«ri wm the h^^^doffiddlv Kuwitii ** with aggressive troop ma- 
. „ starU ? “P 05 ** “* as its 19th nrovince and refused neuvers earlier this month. She 


border recognition is "under Albright replied bluntly that 
consideration." Until now, Iraq J ra 9 ^ ad destroyed its credibiJ- ■ 

< r ■ . rrr - ,, . - itv unfn nsnKcivr tnvm mn. 


differences between Russia, 
which is seeking an eventual 
opening toward Iraq, and the 
United States, whose policy in 


as its 19th province and refused 
to use the name of Kuwait in 
any government discourse. 

In Baghdad, a special closed 


practice amounts to keeping se- session of Parliament, called 
vere trade sanctions in place as amid speculation it would ratify 
long as President Saddam Hus- a formal recognition of Kuwait, 
sein is in power. adjourned with no decision an- 

The council is now deeply nounced. 
split over Iraq. France's chief - x . . 

delegate. JeS-Bemaid Men- In a speech, Mr. Kozyrev ar- 

mfce, seconded Russia’s posi- 

tion that the council must move _ 

toward sanctions relief if Iraq 

complies with the letter of UN TXT CF A YA 

resolutions requiring it to rec- I ^ r/\|l 

ognize Kuwait and cooperate m | w 
with weapons destruction. 

During a visit on Monday to ”Tl1P iTirtnal 
Kuwait. Alain Juppfe, the AUC VXMJLKU. 
French foreign minister, dif- 1 rp j 

fered with the United States 3J|Q 1 ClCCOIE 
over the meaning of a measure 


said the United States sees “no 
more value” in Iraq’s promises 
to Russia than in past pledges it 
broke. 

She called on the council to 
reject the Russian approach, 
saying Mr. Saddam should be 
held to complying with all of 
UN resolutions for a long time 
before sanctions can be lifted. 


complies with the letter of UN TXT UFA TA 
resolutions requiring it to rec- I ^ f H ./ \ | J 
ognize Kuwait and cooperate m | | m 

with weapons destruction. m 

During a visit on Monday to (rloml TllTOTTYlrltlOri 

Kuwait. Alain Juppfc, the AUC VJIUUOl liUUIUiaUUU 

French foreign minister, dif- 1 rp, -> • • 

fered with the umted stales and Teiecommumcations 

over the meaning of a measure 

mously Saturday limiting Iraqi Industries - a strategic 

troop deployments near Ku- O 

wait Mr. Juppd said the United cmnrrt'i 
States must return to the Unit- [dUUI vMUIl 
ed Nations for a new authorize- x x _ 

tion ifit intends to use a mili- 'J|| nninnf I 

tary strike to enforce the ° JOlIUdlJ 


Stephanie McCchcc/RaJletx 

APPEAL HEARING — A Kuwaiti lawyer talking Monday to three Iraqis sentenced to death for plotting to kill George 
Bush. It was the first day of their appeal bearing in Kuwait The court is looking into the sentences passed by a state 
security court in June against 9 of the 14 men charged in connection with a plot to IdD Mr. Bush during a 1993 visit 


troop deployments near Ku- 
wait Mr. Juppe said the United 
States must return to the Unit- 
ed Nations for a new authoriza- 
tion if it intends to use a mili- 
tary strike to enforce the 
resolution. 

But Secretary of State War- 
ren M. Christopher, in New 
York, insisted that the United 
States already had the neces- 
sary authority under previous 


ftlf «* ! ’ 


According to Jordanian ac- 
counts, born Israel and Syria 
have progressively restricted 
Jordan^ access to the water of 
the Jordan and Yarmuk riveis 
so that, of an annual allotment 
of 477 mflh'on cubic meters a 
year once urged in American- 
sponsored proposals, Jordan is 
currently receiving none from 
the Jordan River and only 100 
to 110 milli on cubic meters 
from the Yarmuk. 

Israel's reported agreement 
to divert 50 nriHiom cubic me- 
ters per year to Jordan, presum- 
ably from the Sea of Galilee 
area, is thus a major economic 
boost, and a peace dividend, for 
a country whose underground 
water supples are rapidly being 
exhausted. 

The agreement did not please 
everyone. 

Jordan’s own Islamic funda- 
mentalists vowed to oppose the 
accord, saying it was against 
““everything Muslims and Arabs 
stand for and believe in.” 

In Israel, Likud opposition 
offici al* questioned the haste 
with which the agreement had 
been reached. “Always there 
are concerns, especially when I 
see the hurry, said former 
Prime Minister Yitzhak Sha- 
mir. 


Pentagon’s Two- War Doctrine 
Faces a Challenge of Logistics 


By Eric Schmitt 

New York Tima Service 

WASHINGTON — Ameri- 
ca’s latest military showdown 
with Iraq, at a time when U.S. 


troops or firepower to vanquish 
two separate foes. Most mili- 
tary experts say it probably has. 
But critics contend that the 
Pentagon’s main bottleneck 


forces are in Haiti, is raising centers on a shortage ofirans- 


s tions about the Pentagon's 
ity to meet its strategy to 


at planes and cargo ships to 
.ul tanks, artillery, and equip- 


win two major wars at nearly to two far-fl«“g bai 


the same time. 


troops or firepower to vanquish several improvements were 
two separate foes. Most mili- made in the aftermath of the 
tary experts say it probably has. Gulf War. 

But critira contend that the ^ for has 

Pentagons mam bottleneck stockpiled Muipment for a total 
centers on a shortage of trans- D f two brigades, or about 5,000 
port planes and cargo ships to soldiers, in Kuwait and on Die- 
haul tanks, artillery, and equip- Q^a in the Indian Ocean, 
meat to two far-flung battfe- ^ Lhe * buying or ron . 

fidds at once. verting 19 ships specially de- 

“LogLstically, you just can’t signed to load and unload 
do it,” said Eliot A. Cohen, a tanks, trucks, and other vehicles 
professor at the Joints Hopkins quickly. 

School of Advanced Interna- . . ... 

finnal Studies, who was a direc- Although the U.S. military 
tor of a Pentagon study of air has shrunk to 1.6 milli on troops 
power in the Gulf War. from 1.8 million since the Gulf 

War, the arsenal will in some 
In testimony before a Senate ways be more potent in the near 
committee this year. General future. The air force and the 


fields at once. 

With about 20,000 troops in , “LopsttadW, you just can’t 
Haiti, the U.S. involvement do it,” said Eliot A. Cohen a 
barely ranks as a minor contin- prof essor at the Johns Hopkins 
gency. And the more than ScW ! of Advanced Iflteraa- 

30.000 Americans in or bound honal Studies, who was a direc- 
tor the Gulf now, as well as the tor of a Pentagon study of air 

155.000 additional ground power in the Gulf War. 
troops on alert, are a far cry in testimony before c 
from the more than 500,000 committee this year, < 
who fought the 1991 Gulf War. Joseph p. Hoar, then j 

Executing these two missions the U JS. Central Coi 
at the same time has not which is responsible f< 
strained the nrih wry's combat tary operations in the 
power or logistical support. But East, said: “Strategic a 
fighting major land wars in the this countiy today is 
Gulf and, as the strategy envi- Fm not sure it is weak 
sloqs, on the Korean Peninsula day for one major regtoi 
simultaneously would pose seri- tmgency.” 
ous problems. Senior Defense Den 


Joseph P. Hoar, then head of 
the U.S. Central Command, 
which is responsible for nrili- 
tary operations in the Middle 
East, said: “Strategic airlift in 
this countiy today is broken. 
Fm not sure it is workable to- 
day for one major regional con- 
tingency.” 


ous promems. Senior Defense Department 

The issue is not whether the officials insist that their straie- 
United States has enough gy is sound, particularly since 


navy have since 1990 more than 
doubled the number of attack 
planes that can drop laser-guid- 
ed bombs. The intelligence ser- 
vices have also sharpened their 
reconnaissance abilities. 

Nonetheless, some military 
commanders and critics in Con- 
gress voice concern that the de- 
clining American military will 
not be able to wage war on two 
fronts. I 


Iran’s Caviar Output Drops 

Agence Franu-Presse 

TEHRAN — Iran's caviar production is expected to fall for 
the third consecutive year by about 10 percent because 
poaching and pollution are exhausting fish stocks in the 
Caspian Sea, a fisbmg official said Monday. 

The official said in the Kayhan newspaper that the produc- 
tion of caviar could fall by another 15 tons this year. Iran 
produced 130 tons of caviar in 1993, compared with 180 tons 
in 1992 and 200 tons in 1991. 

Experts have blamed pollution and illegal fishing in Iran 
and the former Soviet republics bordering the Caspian Sea for 
the depleted stocks of sturgeon from which caviar is derived. 
They estimate that 1 million sturgeon are being caught illegal- 
ly each year. 


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'rage 6 


TUESDAY, OCTOBER 18, 1994 


OPINION 


Heralfc 


INTERNATIONAL 



Sribnnc 


PuM&knl With Tbc JVrw Ynrk Tibks and TV Wuihinglnn Punt 


Labor Rights in Indonesia 


The Clinton administration is having a 
hard time deciding whether to impose 
modest trade sanctions against Indonesia 
for denying workers their basic rights. 
First it demanded changes by February 
. 1994. Then it let that deadline pass and 
dropped formal scrutiny of Indonesia’s 
performance for six months. Now it 
-seems ready to delay any action until 
after President Bill Clinton visits Jakarta 
next month for the Asia-Pacific summit 
meeting. Such protracted delay helps no 
one. The administration should tell Indo- 
nesia now what it still needs to do and set 
a firm deadline for doing it. 

As a low-income developing country. 
Indonesia is eligible for reduced tariffs on 
certain products through a program called 
the General System of Preferences, or 
GSP. About $900 mil H on in Indonesian 
exports entered the United States under 
this program last year. But by U.S. law, 
countries benefiting from GSP are re- 
quired to take steps to accord their citizens 
internationally recognized labor rights. 

In Indonesia’s case that means getting 
the army out of labor disputes and letting 
workers form independent unions. As the 
February deadline approached, Indonesia 
promised Washington it would take mean- 
ingful steps in both areas. It has had eight 
months to put those promises into effect. 

A U.S. investigative i<am recently vis- 
. ited Indonesia to assess compliance. Its 
findings are not yet available. Human 
rights groups report some progress, but 
they say that the military still interferes 
in labor matters and the government is 
still trying to crush the main indepen- 
dent union. Last month. 28 members of 
Congress urged the Clinton administra- 


tion to revoke Indonesia's GSP benefits. 

But the GSP debate is now taking place 
in a radically changed context In May, 
the Clinton administration dropped ml 
human rights conditions on trade with 
China. As repressive as Indonesia’s labor 
policies are, they are less harsh than Bei- 
jing’s. In recent weeks. Commerce Secre- 
tary Ron Brown has called for expanding 
trade with China and Indonesia, ignoring 
human rights concerns. The message is 
clear: Washington’s human rights talk 
need not be taken seriously. 

If President Clinton wants to salvage 
any credibility on rights, he needs to 
modify that cynical message at once. 

Withholding trade benefits is an ap- 
propriate tool Tor punishing labor abuses, 
winch offend human rights and confer 
unfair trade advantages to the violator. In 
the case of the General System of Prefer- 
ences, upholding labor standards is re- 
quired by law. Bui if the administration 
sincerely believes that trade and develop- 
ment are the best ways to advance human 
rights, other forms of pressure axe avail- 
able. These include outspoken diploma- 
cy, votes in the UN Human Rights Com- 
mission and restrictions on military 
tr aining and sales for countries whose 
armed forces are involved in human 
rights abuse. The latest foreign aid bill 
specifically instructs U.S. representatives 
in multilateral development banks like 
the World Bank to take worker rights into 
account when they cast their votes. 

Right now, the administration seems at 
a loss over human rights policy. Renewing 
the pressure on Indonesia over labor rights 
could help it find its way again. 

— THE NEW YORK TIMES. 


Merely Politics as Usual? 


Newt Gingrich, the House Republican 
whip and would-be speaker if the Republi- 
cans win control of that body next month, 
blurted out some remarkable statements 
the other day during a session with lobby- 
ists on Capitol HI1L They raise a lot of 
questions about what the House might be 
like under Mr. Gingrich’s leadership. 

For example, when he was killing a bill 
that would have cut off the free golf trips 
and other lobbyists’ gifts to members of 
Congress, he wrapped himself in the man- 
tle of religious liberty, encouraging talk 
show hosts to assail the needed Legislation 
on the false ground that it would inhibit 
the speech rights of religious groups. 

But he told the Capitol Hill gathering 
that Republicans planned to raise money 
from — you guessed it — lobbyists, by 
saying that ins party had saved them 
from ‘•S talinis t** and “punitive’' measures 
supported by Democrats. Presumably, it 
is “Stalinist” to require lobbyists to dis- 
close some of their activities to the voters 
and to prohibit them from sending their 
favorite congresspeople on tennis jaunts. 

Mr. Gingrich, who talks a good game 
about the need for “change” and an end to 
“corruption” on Capitol Hill, seemed to 
relish the prospect of telling lobbyists that 
he had preserved their way of life and that 
erf freebie-taking members of Congress. 

Or take his statement that his strategy 
in the campaign was to portray pro-Clin- 
ton Democrats as “the enemy of normal 
Americans.” Ann Devroy and Charles 
Babcock of The Washington Post asked 


him about this statement, and he said he 
should have used the word “threat” in 
place of “enemy.” Either way, where does 
a politician who wants to exercise sub- 
stantial power get off deciding who is and 
who isn’t a “normal” American? 

Mr. Gingrich argues that the closer 
Republicans get to control of the House, 
the more uneasy “Washington” gets over 
the prospect of having all that power in 
the hands of the Republican Party. That 
is certainly true of Democrats in the 
House, but something that transcends 
partisanship is going on here. The closer 
Mr. Gingrich gets to the top, the more 
reckless he seems to become. He spoke, 
for example, of having 20 task forces or 
subcommittees at work investigating al- 
leged White House corruption, although 
he later admitted that 20 was “not a 
serious number.” Indeed. 

Mr. Gingrich rose to fame by attacking 
the House Democrats for abusing power. 
In a number of those cases, we agreed with 
him. Most recently, we argued that Demo- 
crats have been too eager to restrict the 
ability of House Republicans to amend 
bills and broaden the debate. But, as the 
prospect of Republican control of the 
House has loomed larger. Mr. Gingrich 
has appeared ever more interested in tak- 
ing the same old partisanship he used to 
decry and simply directing it toward his 
own ends. His comments suggest, for all 
his rhetorical flourishes, that the last thing 
he wants is an end to politics as usual 
— THE WASHINGTON POST. 


Televise the Simpson Trial 


Angry over an inaccurate news report 
about the O.J. Simpson murder case, 
Judge Lance Ito has suggested that he 
may not allow cameras at the trial. The 
law gives him broad power to forbid or 
control courtroom cameras, but it would 
be most unfortunate for justice if he let 
his anger decide the issue. This celebrated 
case, however much glitz has attached to 
it, needs to be televised. 

With or without camera coverage of 
the trial the Simpson case is plagued by 
global attention and pretrial publicity 
that complicates the process of picking 
an impartial jury. But even the inaccurate 
and damaging news stories argue for 
camera coverage, not against. 

Nor would denial of camera coverage 
have any effect on the behavior of news 
organizations or their sources outside the 
courtroom. Indeed, one erf the virtues of 
courtroom photography is the literal ac- 
curacy of what the pictures and sound 
portray. Partisans and reporters may 
shout their interpretations from the 
courthouse steps, but once the trial is 
under way the audience will be able to see 
for itself what is happening. 

Even in the pretrial proceedings the 
public, unable to attend, mis learned much 
that the print medium cannot fully convey 
— about trial procedures, evidence, the 
role of a judge, lawyers and their argu- 
ments, and how they all interact Another 
point: For all the friction among the law- 


yers, neither side is seeking the blackout 
that Judge Ito is considering. The single 
video camera itself is unobtrusive. If there 
are potential jurors anxious to serve for the 
fame it may bring them, they will not 
achieve it from trial cameras, for no pic- 
tures erf the jurors are allowed. 

The very factors that raise the question 
of camera coverage compel the answer 
that the public must be allowed to wit- 
ness the trial: the accused is famous and 
rich, the alleged crime atrocious. Can all 
parties get justice? The public needs as- 
surance that justice is bang done. 

Judge Ito points to mail from citizens 
who have overdosed on O. J. Simpson and 
want less, not more, television about him. 
The judge must realise that such sentiment 
will not satisfy the need for public justice 
publicly observed, and that a blackout 
would not stem the torrent of stories. 

For all the judge’s undoubted power, his 
understandable rage at some of these cir- 
cumstances does not authorize him to act 
out of pique or withdraw court access 
because of the content of a news report 
Banning television is unjust punishment 
for sloppy news coverage in the past and is 
no antidote at ah to the breathless journal- 
ism that will surely come later. The public 
inevitably will judge the quality of justice 
in this case. A more satisfying public judg- 
ment will result if the public can see and 
hear what the jury sees and hears. 

— THE NEW YORK TIMES. 



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'<zhk 


Germany: More of the Old Kohl , Only Even Stodgier 


M UNICH — The boring 

ended in a down-to-the-wire fin 
and the status quo won. 

Chancellor Helmut Kohl has not only 
beaten his Soda! Democratic rival Ru- 
dolf Scharping. He is also set to outdo his 
much admired mentor Konrad Adenau- 
er, the founding father of the Federal 
Republic. Adenauer ran West Germany 
for 14 years. If his heir, with 12 years in 
power ’already, manages to avoid an un- 
timely demise, be it of the political or the 
biological kind, he will be able to pack in 
up to 16 years — more than Fr anklin D. 
Roosevelt and almost as much as the 
’’Iron Chancellor” Otto von Bismarck, 
who tallied 19 years. 

In your average democracy. 12 years 
should have been enough. It would have 
been “time for a change,” and all that. 
Hence the really interesting point about 
this election is not the slender margin of 
Mr. Kohl’s victory but the fact itself. 

Half a year ago, Mr. Scharping looked 
like a shoo-in. Mr. Kohl and bos Chris- 
tian Democrats looked hopeless, and so 
did his junior coalition partners, the 
Free Democrats under Foreign Minister 
Klaus Kinkel So by international stan- 
dards this was the greatest comeback 
since Richard Nixon’s in 1 968. 

How did Mr. Kohl do it? It was not 
really he who turned the tide, but the 
two usual suspects in democratic poli- 
tics: the strength of the economy and 
the weakness of his rival. 

By early summer, the business cycle 
pointed up, up, up. It was a real upswing, 
not the kind of faltering one that failed to 
push George Bush past Bill Clinton in 
1992. Starting in the summer, good news 
tumbled in almost daily, robbing Mr. 
Scharping of a sure- win issue by the fall. 
As growth, export and investment figures 
headed north, so did Mr. Kohl's populari- 
ty ratings. In the end, he had put 14 points 
between himself and Mr. Scharping. 

The second usual suspect was the So- 
cial Democratic contender: young, inex- 
perienced, a bit clumsy under the klieg 
lights, and not firmly in control of his 
party, whose heart beat farther left than 
Mr. Scharping 1 s. 

Also, he had a “Hillary problem.” No. 
not his real-life wife but his partner in 
political marriage, the Greens, who re- 
turned to the Bundestag with 73 percent 
of the vote. With their anti-NATO, pro- 
pacifist posture and radical economic 
agenda — for example, 5 marks (S3.3 
dollars) for a liter of gas — the Greens 
were just a bit too much for your average 


By Josef Joffe 

German burgher who likes his car and his 
cozy place in the Western allian ce 

So Mr. Scharping won a few points, 
but not enough to unseal Mr. Kohl who 
will now have to make do with a slender 
majority. That is good news for the rest 
of the world, which must have breathed a 
sigh of relief from Washington via Brus- 
sels to Bratislava. 

Mr. Kohl is a dyed-in-the-wool Euro- 
peanisi, perhaps the last in a long succes- 
sion from Konrad Adenauer to Helmut 
Schmidt. He is also a good Atlanticist, 
always careful to *jve unto Paris without 
taking from Washington. He stands (more 
or less) for free trade, and wants (more or 
less) to open the West's doors to the East 
Europeans. And he is not gripped by ob- 
sessive angst when it comes to fielding the 
army for a peace mission here or there. 


The only true surprise in this election 
was the astounding score of the PDS, the 
successor of the East German Commu- 
nists who presided over the Prusso- 
Marxist enterprise known as the GDR. 
The “Party of Democratic Socialism” 
will field 30 stalwarts in the new Bundes- 
tag. But with their deep-red rhetoric they 
will mainly embarrass the center left, the 
Social Democrats and the Greens. 

The PDS represents the revolt of the 
dispossessed nomenklatura and the re- 
sentment of reunification's losers. But 
Eastern Germany is forging ahead at an 8 
percent growth rate, and so it is likely to 
be swan song time for the PDS in the next 
general election, in 1998 at the latest 

The problem lies elsewhere. Not only 
must Mr. Kohl govern with no votes to 
spare; in effect he must rule with (he 
consent of a grand coalition. Germany 
being a federal construction, there is be- 
sides the Bundestag a kind of Senate rep- 


resenting the states. There, in the Bundcs- 
rai. Social Democrats will have a blocking 
for all essential legislation. 


in the Conference Committee, functioning 
like a two-party cartel Mr. Scharping will 
'be axbancdibr, and that means at best 
compromise tiber altes, at worst stalemate 
and immobility. So much for the German 
leadership that the rest of Europe regards 
with both desire and dread. 

There will not be much cause for cither 
of those emotions, not with the kind of 
Germany emerging from Sunday’s elec- 
tions. Germany will be what Germany 
was: s l ugg ish , centrist, more modest titan 
its clout might suggest. And that is not 
bad in a world that does not exactly 
suffer from a surfeit of political stability. 



editor 

this 


More Voice for the East, and Surprises Ahead 


B ERLIN — Helmut Kohl has emerged 
as the winner of the German elec- 
tions, but his government already has the 
look of a lame duck. 

Normally, a 10-vote majority in the 
Bundestag' would be enough. Not this 
time. Mr. Kohl has to work with a junior 
partner that was left half-dead by the 
elections Sunday. The Free Democrats 
managed to return to Parliament, with 6.9 
percent of the vote, but there were strong 
warning signals. In three Lander elections 
Sunday, they remained under the S per- 
cent barrier. If this trend continues, as it 
seems certain to do. the coalition won't 
survive more than two years. 

Rudolf Scharping. leader of the oppo- 
sition Social Democratic Party, therefore 
can expect an invitation to form a “grand 
coalition” with the Christian Democrats 
— possibly with a successor to Mr. Kohl. 
Wolfgang Schauble is a strong prospect. 

Only by riding the chancellor's coat- 
tails were the Christian Democrats able 
to get 41 3 percent of the vote — not bad. 
but too little to assure smooth sailing. 

The big surprise for Western Germans 
was the showing of the Party of Demo- 
cratic Socialism, successor party to the old 
Communist Party of East Germany, 
which won directly in four districts. This 
entitles them to enter Parliament with 30 
seats. The PDS now appears sure to be a 


By Jochen Thies 

permanent factor in German politics. This 
points to a leftward shift for Germany's 
political majority in years ahead. 

The third partner in this game, along 
with the Social Democrats, will be the 
Greens, who staged a nationwide politi- 
cal comeback by obtaining 7.3 percent. 

If Mr. Kohl manages to form a coali- 
tion government with the Free Demo- 
crats, his room for maneuver will not be 
great in domestic or foreign affairs. 

The government will depend largely on 
the Social Democratic Party, which has a 
strong majority in the upper chamber of 
Pa rliam ent, the BundesraL The Social 
Democrats' approval will be needed for 
passage of most laws. 

It is certainly possible that Mr. Kohl 
win try to create more political space by 
giving Germany a stronger profile abroad 
— moving to strengthen the Maastricht 
process in Europe and to contribute more 
strongly to UN peace missions. 

In some ways. Sunday brought the end 
of the political system of the old Federal 
Republic of Germany. Although the po- 
litical swing was not radical, we are wit- 
nessing the coming together of two quite 
different societies. 

The East German element in the new 


political system became clear for the first 
time. The PDS will in many ways repre- 
sent the 20 percent of the Germans living 
in the East. The East has, for the first 
time, shown the will and the power, to 
play a role in the country. 

Three people had reason lobe content, 

to varying degrees, with the results Sun- 
day: Chancellor Kohl whose political 
pull made possible a narrow victory for 
his party; Klaus Kinkel who, instead of 
digging a grave for his Free Democrats 
‘saved them, at least for now; and, of 
course, Rudolf Scharping. 

Like Helmut Kohl in the 2970s, Mr. 
Scharping, who is 46, now comes to Bonn 
to lead the opposition in the Bundestag. 
His first aim will be to fend off his rivals 
in the SPD troika, Oskar Lafontaine and 
Gerhard Schroeder. 

Mr. Kohl for his part, knows that he 
has achieved everything a politician can 
dream of. He is the chancellor of German 
unity. And he believes in Europe and in a 
trans-Atlantic relationship with America. 
He has remarkable freedom to stay or to 
step down from office. Those who know 
him realize that Mr. Kohl, and no one else, 
will decide when he goes. It is certain to be 

a moment of general surprise. 

The writer, foreign editor of Die Writ, 
contributed this to the Herald Tribune. 


Oil Revenue: 20 Million Iraqis Are Trapped Between the Battle Lines 


* 


N ICOSIA— Whp really bene- 
fits if Iraq and its suffering 
people are made to continue pay- 
ing the costs of the embargo on 
oil exports, and if a threat of U.S. 
military action is left hanging 
over their already badly damaged 
oil industry? 

The embargo that followed 
Saddam Hussein’s insane inva- 
sion of Kuwait created a huge 
bonanza for Saudi Arabia, Ku- 
wait and big oil in general as 
Fadhil Chalaby, executive direc- 
tor of the London-based Center 
for Global Energy Studies, noted 
in a clairvoyant lecture in July. 

The embargo forbids Iraq to 
export more than a small amount 
of oQ (Jordan gets some legally; 
more leaks out through Turkey 
and Iran on trucks or barges ply- 
ing the Gulf, where traders buy it 
surreptitiously at Dubai). 

The chief benefactors of the 
embargo have been the Saudis. 
Before the 1990 war, Saudi Ara- 
bia made shrewd investments to 
increase its production capacity, 
as it has done at opportune mo- 
ments before. This enabled it to 
replace more than 75 percent of 


By John K. Cooley 


the embargoed Iraqi oil sales. 
OPEC raised the Saudi export 
quota from 5.4 million barrels 
per day to 8.4 million, settling 
finally at around 8 million, for a 
50 percent gain. 

Mr. Chalaby calculates a cu- 
mulative gain for Saudi Arabia, 
as a result of the Iraqi embargo, 
of S72 billion (its average yearly 
income from 1990 to 1993 was 
544 billion). Yet, Saudi Arabia 
has been experiencing serious fi- 
nancial difficulties. So the Saudis, 
as well as the Kuwaitis and other 
Gulf emirates, are desperately 
anxious to keep Iraq’s oil exports 
off the market as long as possible. 

Starting before the Iraqi em- 
bargo, the Saudi kingdom steadi- 
ly drew down its external finan- 
cial assets. It then turned to heavy 
borrowing from banks and finan- 
cial institutions to finance grow- 
ing budget deficits. So Saudi Ara- 
bia sees an early return of Iraqi 
ofl to the world market as a threat 
not only to its finances but to its 
national security. 

The same is true, though to a 


lesser extent, of Kuwait, Iran and 
Venezuela, oil experts say. All 
three benefited from the embargo 
by raising their market shares, at 
Iraq’s expense. 

Mr. Chalaby’s London think 
tank puls cumulative Iraqi losses 
of oil income since Saddam's oc- 
cupation of Kuwait in 1 990 at $70 
billion or more — the value of 
Iraq’s prewar oil exports at the 
prevailing market price. 

In 1980, before its war with 
Iran, Iraq was producing nearly 4 
million barrels per day. Then, 
with large-scale destruction of its 
export terminals, doting of ex- 
port pipelines and damage to oth- 
er installations, Iraqi output 
dropped to I million barrels. Its 
production level had climbed 
bade to 33 million just before the 
disastrous Kuwait adventure. The 
shutdown that came with the em- 
bargo in 1991 has not only cut 
output; it has trimmed Iraq’s ca- 
pacity to make a comeback. 

Saddam Hussein and those still 
loyal to him must have fdt the 
breath of doom when Dick Che- 


ney, the former USL defense sec- 
retary. remarked almost casually 
on U.S. tdevision recently that 
Iraq’s oil installations could be 
easily hit again. 

The world’s biggest oil compa- 
nies and some governments have 
been gambling against an Ameri- 
can air and missile strike that 
could paralyze Iraq’s oil-depen- 
dent economy for yeajs. Hoping 
for an end to the embargo, Frmch, 
Ital ian , Japanese and even Amer- 
ican oilmen beat a path to the Oil 
Ministry in Baghdad, seeking 
new concessions. 

A detailed report by the Middle 
East Economic Survey, an authori- 
tative Cyprus-based journal out- 
lined deals concluded in early Sep- 
tember between Baghdad and 
Moscow that ensure a leading role 
for Russia in Iraq’s oil industry, 
whenever that industry gets back 
tm its fecL A long-term agreement 
is worth about $10 billion. 

Projects include development 
of Iraq’s pant West Qurnah oil 
field, construction of a power sta- 
tion at Yusufiyah and the laying 
of a 350-kflometer (210-mile) gas 
pipeline between Natiriyah in 


Iraq's south and Baghdad. At 
Iraq's request, there will also be 
new oil export and storage facili- 
ties. an upgrading of war-bat- 
tered refineries, and construction 
of an iron and sled plant 

If Russian engineers are not 
frightened off by the prospect of 
U3. bombs, they are ready to be- 
gin inspecting and assessing war- 
damaged oil projects. 

Iraq, meantime, will continue 
pressing its traditional customers 
— American, Frehch, Italian, 
Japanese — to help it lobby the 
United Nations Security Council 
to lift the embargo. 

Decision-makers in the Middle 
East should ponder who would 
profit from a new conflict, fought 
certainly in part over oil interests. 
Is a strike against an obnoxious 
dictator worth further injury to a 
society of 20 million people, even 
if it ensures short-tenn bonanzas 
for that dictator's foes? 


The writer, on ABC News corre- 
spondent and author based in Cy- 
prus, specializes in Middle Eastern 
affairs. He contributed this com- 
ment to the Herald Tribune. 


South China Sea: Washington Needs to Hear About Beijing’s Claims 


W ASHINGTON — U.S. De- 
fense Secretary W illiam 
Perry, now in China, should have 
one question at the top of his 
Beijing agenda: What are China’s 
daims regarding the South China 
Sea? Cozy belief by the United 
States and some Asian neighbors 
that "engagement^ with China 
will, by definition, enhance re- 
gional security sounds nice, but it 
is a notion based partly on a 
yawning information gap. 

In the emerging world order, 
the South China Sea is becoming 
as strategically important as the 
Mediterranean. Yet no one, and 
that includes the U.S. govern- 
ment, knows the full nature and 
extent (rf China ’s c laims. 

Whatever its ul tima te objec- 
tives, China’s imprecision on this 
matter has kept America on the 
sidelines and deflected the possi- 
bility of a common stand by other 
states against China’s more ex- 
treme claims. It has also obfuscat- 
ed the relationship between its 
claim to the tiny islets and reefs 
known as the Spratlys, its daims 
to oil under the sea floor and its 
claims to the sea itself. 

Take the most fun dame ntal is- 
sue. China long ago issued a map 
outlining its claim to the sea as 
"historic waters.” A U-shaped 
area delineated by a dotted line 
gives it the whole sea up to a line 
ranging roughly 15 to 200 nautical 
miles from the coasts of the others. 

Yet the United States “doesn’t 
believe a claim has been made.” 
That, at least, was the answer of 
one official expert when asked 
why the United States has not 
included China’s apparent claims 
in its extensive catalogue of "ex- 
treme” maritime daims. 

But China has yet to define 
what it means by "historic wa- 
ters,” which has no basis in the 


By Philip Bowring 


1982 UN Law of the Sea conven- 
tion, signed by Beijing. 

According to one Chinese au- 
thority, Pan Shiying, speaking at 
a recent South China Sea confer- 
ence in Washington. China does 
not regard the sea as “internal 
waters.” But what does it claim 
within that famous line? 

The issue is crucial. While oth- 
er nations claim some of the tiny 
islands and use them as baselines 
for cl aims to territorial waters 
and seabed, China has this addi- 
tional "historic” claim to the wa- 
ters at large. 

China has spelled out its land 
and territorial water claims. Its 
national Law on the subject goes 
beyond what is permissible under 
the Law of the Sea, claiming the 
right to control passage of war- 
ships through its territorial sea 
and contiguous waters. 

At least the land daims can be 
addressed in the same terms as 
used by other countries. Their ap- 
plication, if not sovereignty itself, 
can be subjected to the Law of the 
Sea. But the maritime claim is of a 
different order. 

This question could involve yet 
another country finding itself in 
conflict with China — Indonesia. 
Indonesia has no claims to the 
Spratlys, but the area delineated 
by the Chin ese line includes the 
huge gas field discovered by Ex- 
xon off Indonesia's Natuna Is- 
lands. This is one of the largest 
hydrocarbon finds so far in the 
South China Sea. It will cost 520 
billion to develop. 

According to Pan Shiying. the 
line, roughly equidistant between 
China's Spratly daims and the 
coasts of the other nations, could 
be regarded with “a certain flexi- 
bility.” However, the lack of clar- 


ity leaves open the possibility that 
China will at some point seek to 
make a claim on Indonesian as 
well as Malaysian, Philippine and 
Vietnamese exploitation of oil 
and gas within the line. 

China awarded ofl rights in a 
large block that lies oft southern 
Vietnam and near Malaysian wa- 
ters to Crestone, a U.S. company, 
on the basis of proximity to one 
Spratly island. 

But it has criticized Vietnamese 
exploitation of a field that lies 
much closer to Vietnam than to 
any Spratly, but which is within 
the Chinese line boundary. 

The United States, for its part, 
lacks a policy other than to say 
that it does not take sides in dis- 
putes over sovereignty. It is thus 
impossible to determine China ’s 
long-term intent 

Is it to maneuver for position 
before agreeing to a partition of 
the sea, linked to joint develop- 
ment of resources? Or is it to play 
for time, discouraging others, par- 
ticularly Vietnam, from exploiting 
oil off their coasts, while budding 
its naval forces and watching 
U.S. presence decline? 
Through the ASEAN Regional 
Forum, the countries of the Asso- 
ciation of South East Asian Na- 
tions have focused attention on 
the issue. But ASEAN is divided 
on what to do. Thailand has Utile 
direct interest Some other mem- 
bers do not want to give the im- 
pression of ganging vp on Hhinflj 
which insists on dealing with the 
issues bilaterally. 

Malaysia is trying to engage 
China in dialogue rather than 
take a common stand with Viet- 
nam and the Philippines (al- 
though it is inc reasing militar y 
contacts with those two). Chances 


of a joint ASEAN stand might be 
strengthened if Vietnam joined 
the group, as it wants to do. 

Amid all this confusion. Amer- 
ica’s friends in the region are un- 
clear what role they want the 
United States to play. They want 
a continued U.S. presence, to pre- 
vent anyone else from establish- 
ing hegemony and to deter adven- 
turism. Yet they are equivocal 
about a direct U.S. role, either 
because they doubt America’s 
commitment, fear Chinese wrath 
or harbor resentment against out- 
side powers enforcing local law. 

Thus, if the U.S. 7th Fleet in- 
tends to stay in the South China 
Sea into the next century, the 


United States needs clearer objec- 
tives. But first the United States 
will need to press Beijing to clari- 
fy its daims . Washington cannot 
ignore the question. In addition 
t° U.S. commitments to ensure 
freedom of navigation in the re- 
gion — in possible conflict with 
apparent Chinese policies — seri- 
ous problems could arise from 
U.S. oil companies d rilling in dis- 
puted waters. 

Unless the United States is pre- 
pared to ask hard questions about 
Chinese claims, it cannot answer 
the central question: What rote, if 
any- docs the 7th Fleet have in the 

South China Sea? 

International Herald Tribune. 


PV OUR PAGES: 100. 75 ANT) 50 YEARS AGO 


% 


1894: Socialists Unite 

PARIS — [The Herald says in an 
editorial:] The Socialist ch aracte r 
of the latest Belgian elections Iras 
been made dear. The French So- 
cialist Deputies have at wee gone 
to Belgium to place themsdves at 
the disposal of their Belgian con- 
freres, and the French, Belgian, 
German, Austrian and Italian So- 
cialist Deputies intend to create a 
sort of international parliament. 

They wiU bring in the same bills in 

every country, and they hope thus 
to prove to the world that the 
demands of the w orkin g classes 
are the same everywhere, People 
had some suspicion of tins already. 

1919: Autos and Fashion 

PARIS — - Observers of fashion 
passed an interesting afternoon 
yesterday [Oct. 17] at the Fif- 
teenth Automobile Salon. A man- 
nequin from one of the rue de la 


Paix shops gave the whole sc 
away in the course of a vis 
some of the stands. “Are 
looking for a particular mall 
car, Madame?” Inquired a so 
tous salesman, “Thank you, 
not thinking of makes or of 
etther," came the reply. • 
studying the tints of the a 
itras. I’ve been sent here to . 
wnat colors are to prevai 
gowns this winter." 

1944: More War Fund 

WASfflNGTON- [From 
New York edition:] PresU 
Roosevelt appealed tonight [< 
17] for grcater-than-cver am 
Dunons to community war fu 
as a token of “democracy a 
best tosbowtiiaeXnoto-di 
m national unity. He said tha 
tiw day of the fighting men’s 
turn bom e they will shake 

ftmd donors by the hand and 

Panics for helping, friend.” 








INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 

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There’s Just One Way Ahead 
For Israel and Palestinians 


INHERITANCE 


Hurt and Heathenish in Germany 


By Anthony Lewis 




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B OSTON — “I don’t remember 
an inddoit when we were aU so 
deeply involved,” an Israeli friend 
said. ‘Teople felt that something 
haroened in their own family.” 

She was talking about the kidnap- 
ping of an Israeli soldier. Corporal 
Nachshon Waxman, by Hamas ter- 
rorists — and his murder by them as 
an Israeli force unsuccessfully 
stormed the West Bank house where 
be was being held. All of Israel had 
seen the videotape made by Hamas, 
with the young man pleading for his 
life, and all mourned his death. 

The trauma of the kidnapping 
raised hard questions for the future 
of the effort to construct an Israeli- 

Hama* is pressing hard, but 
Arafat has no alternative to 
pursuing peace with hraeL 

Palestinian peace. Despite the emo- 
tions in Israel, the problems are far 
harder on the Palestinian ride. 

Prime Minister Yitzhak Rabin 
handled the tenrions of the kidnap- 

S with extraordinary political 
He made mistakes, but under- 
standable ones that should not be 
■ second-guessed. Most significantly, 

' he acted in a way that left the peace 
-process intact m terms of Israeli 
politics public opinion. 

Hamas smuggled the Waxman 
videotape into Gaza and gave it to 
the press there. Mr. Rabin therefore 
reached the wrong conclusion that 
Corporal Waxman was bring held 
somewhere in the Gaza Strip. He 
insisted that Yasser Arafat, who has 
authority in Gaza under the first 
phase of the peace process, was re- 
sponsible for finding the prisoner. 

In the turmoil of those few days 
hardly anyone noticed what Mr. Ra- 
bin did not do. He did not send the 
Israeli army back into Gaza in force 
to search for Corporal Waxman. In 
putting the respcmsibifity an Mr. 
Arafat, he effectively confirmed Pal- 
estinian authority in Gaza. 

The episode, and Mr. Rabin’s 
handling of it, had another, psycho- 
logical effect It reinforced the shift 
in Israeli thinking about the PLO 
that began when Mr. Rabin shook 
Mr. Arafat’s hand at the White 
House a year ago: the shift toward 
seeing the PLO as the best hope of 
peace with the Palestinians, with 
Hamas as the enemy. 

Mr. Arafat acted in a way that 
furthered that shift in Israeli opin- 
ion. He did not bristle at Mr. Ra- 


bin’s rough (and, as it turned oul, 
misplaced.) demand to find the pris- 
oner in Gaza. He arrested 200 Ha- 
mas members and tried to help in an 
abortive attempt to negotiate with 
Hamas political leaders. 

But those very gestures show why 
the kidnapping left worse political 
problems for Mr. Arafat. For what 
be did led to his bring reriled by 
Hamas as a tool of Israel. 

In Palestinian political terms, in 
fact, Hamas won. Its supporters 
marched in Gaza demanding that 
Mr. Arafat release those arrested. In 
the still occupied sections of the 
West Bank, too, some felt that Ha- 
mas gained support. 

Israel is pressing Mr. Arafat to 
suppress Hamas and disarm its mil- 
itary members, who still drive 
around Gaza waving guns. The de- 
mand echoes what happened in Isra- 
el soon after the birth of the state in 
19S8, when David Bea-Gurion's 
government seized weapons from a 
ship, the AJtalena, that was bringing 
them to the Lrgun movement — and 
thereby made clear that there could 
be no private army inside Israel. 

But Mr. Arafat’s Palestinian Au- 
thority is far weaker than the Ben- 
Gtuion government was. It is not 
dear that he has the power to disarm 
Hamas, much less to make the 
movement illegal. “One shouldn’t 
envy Yasser Arafat,” an Israeli said. 
“It’s not a job you would want.” 

It is worse because Mr. Arafat's 
headquarters is in Gaza, a Hamas 
stronghold. To rebuild that desper- 
ately impoverished place and there- 
by gain political legitimacy, he 
needs the promised aid from out- 
side. That requires cooperation 
from Israel, which demands sup- 
pression of Hamas. But if he moves, 
m that direction, be loses legitima- 
cy with many Palestinians. 

“It’s almost a no-win situation for 
him,” Yaron Ezrahi. an Israeli polit- 
ical theorist now in the United 
States, said. “The best we can expect 
is wavering progress.” 

But then Mr. Prrahi added a com- 
ment that other Israelis made when 1 
asked about the effects of the kid- 
napping: “I am convinced that the 
peace process will not be stopped.” 

Perhaps there is an element of 
wishful thinkin g in that conclusion. 
But with all the setbacks — the 
Hebron massacre by an Israeli ex- 
tremist. Palestinian terror — it 
remains a fact that there is no way 
to security and a normal life for 
cither Israelis or Palestinians but 
peace between them. 

The New York Times. 


I — 

1954 





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B ERLIN — The Herr Professor 
Doktor looked at me as though 
I had just demanded the keys to the 
hospital pharmacy. I had simply 
asked to go home. 

“Why do you want to leave?” he 
asked in German. “You've suffered 
a serious injury. It’s my opinion that 
you arc not ready to be discharged 

MEANWHILE 

yet” He gestured at the toes-io-hip 
cast encasing my right leg, the con- 
sequence of surgery to repair the 
Achilles’ tendon I’d snapped in a 
Saturday morning soccer game. 

“My experience,” the Herr Profes- 
sor Doktor said, “is that patients with 
injuries like this should remain in the 
hospital for 12 days. You’ve only 
been here four days.” 

He methodically revisited his 
treatment plan: 12 days in a hospital 
bed, then a walking cast for the hip 
for two weeks, then another cast, for 
the knee for another two weeks, then 
physical therapy. Any attempt to 
short-cut this process could be cata- 
strophic, he warned. 

I marshaled my rebuttal. I knew it 
would be an uphill battle on several 
counts. First, no one ever confuses 
me with Goethe when I speak Ger- 
man. And second, I was arguing as 
layman to physician. Moreover, I 
was arguing in contradiction of one 
of the most revered figures in Ger- 
man society, the Herr Professor 
Doktor. In a culture that yields easi- 
ly to authority, the medical chief of a 


LETTERS TO THE EDITOR 


France and the Gulf 

Regarding “Now Follow Up With a 
Drive to Bring Down Saddam” 
(Opinion, Oct. 17): 

In his article, Mr. Hoagland as- 
serts that I accused the Americans of 
using the Gulf crisis for political 
ends, and he nminfains that 1 said 
that Saddam Hussein did nothing 
wrong by moving troops around in 
his own country. 

Let us stick to the facts. 

I never accused the United States, 
a friendly country with which I have 
always had a relationship of trust, of 
any sort of manipulation. In re- 
sponse to a question, 1 merely noted 
that in the United States, as in any 
other democracy, domestic and for- 
eign politics are interdependent. 
This was a simple, commonsense 
observation that applies just as well 
to France. 

I do not contest Mr. Hoagland’s 
right to suspect dark ulterior mo- 


tives, which, however, I never had. 
But I defy him to cite any declara- 
tion whatsoever on my part that 
could in any sense be construed as 
justification for Baghdad’s recent 
initiatives. To the contrary, 1 have 
continuously condemned the move- 
ments of Iraqi troops, calling them a 
threat to the security of Kuwait and 
of peace in the Gulf. 

But words are not always enough. 
Thus, in my capacity as defense 
minister and acting in pursuance of 
the policy decided on by the entire 
French executive, I sent a frigate to 
waters off the emirate, which was 
later joined by a second such vessel; 
moreover, I placed on alert those 
military forces that might have been 
needed to come to Kuwait's aid had 
the crisis worsened. 

On a personal level, allow me to 
point oul that when I was in the 
opposition, 1 gave my most energet- 
ic support to the need for military 
involvement by my country in the 


Gulf alongside the United States, at 
a time when this attitude was hardly 
widespread. I am therefore most 
s ensi tive to any deformation of my 
positions — which have not 
changed, and which continue to be 
marked by solidarity with our allies. 

FRANCOIS LEOTARD. 

Defense Minister of France. 

Paris. 

More of This for Bosnia 

Regarding “Following the Europe- 
ans to Dishonor” (Opinion, SepL 30) 
by William Safire: 

Calling a spade a spade is what 
this piece is all about. The interna- 
tional community needs more of 
the same, and not the shamelessly 
disguised rhetoric of Lieutenant 
General Sir Michael Rose, Lord 
Owen and the so-called contact 
group on Bosnia. 

P. DESMOND. 

Zurich. 


By Rick Atkinson 

major hospital rates pretty high on 
the demigod scale. 

Dr. Ulrich Weber was not only 
the head of orthopedic surgery at 
Oskar-Helene-Hcdm Hospital, but 
also a professor of medicine at Ber- 
lin's Free University. Tall, direct 
and — as my first hospital room- 
mate had put it — “a bit authoritar- 
ian" — he was also competent, dili- 
gent and good-humored. 

Finally, my petition for eariy dis- 
charge was very un-German, when 
Germans fall 01 — or even think they 
ought — there is none of this lash- 
me-to-thc-mast fortitude. They head 
for bed. Die average hospital stay in 
Germany is 17 days, compared with 9 
days in the United States. The typical 
Goman worker takes 19 days of sick 
leave annually, vs. 7 days for the 
average American; Germans on aver- 
age visit the doctor 1 1 times a year. 

Nevertheless, 1 pleaded my case, i 
was feeling fine. At home 1 would be 
able to work more easily — in bed 
with my leg propped up, of course 
— without the many distractions in 
a busy hospiiaL My doctor-wife 
would be there to help care for me; 
she was no Frau Professor Doktor of 
orthopedics, absolutely not, but she 
knew medicine and could play the 
enforcer to keep me immobile. 

“I promise nl stay in bed,” I 
assured the doctor. “I can ... ”He 
cut me short. "Everyone promises to 
stay in bed," be said. “My experi- 
ence is they have good intentions 
but then there’s a book they need or 
something that has to be done, and 
soon they’re moving around.” 

He was edging toward the door, 
trailed by the clutch of interns and 
nurses accompanying him on his 
Wednesday morning rounds. The 
battle seemed lost. 

“There’s one more thing,” I added, 
taking a last shot “This is expensive. 
It’s costing me money.” 

Dr. Weber wheeled back toward 
me. “How’s that?" 

“Because I'm an American in- 
sured through my company, I have 
to pay part of the bill for room 
and treatment.” 

This hospital room alone was 
more than 400 Deutsche marks a 
day ($260) and I figured a 12-day 
stay would cost me more than $600 
out-of-pocket, exclusive of treat- 
ment charges. In truth, as usual, I 
wasn’t altogether certain bow much 
my insurance would cover. 

The doctor’s countenance 
changed completely. He gazed upon 
me like a missionary who realizes 
that the soul of the heathen before 
him is forever benighted — and per- 
haps not worth saving anyway. 

“Well, this is altogether a different 


matter," he said. “O.IC, well arrange 
for you to go home tomorrow ” 
“The American health care sys- 
tem is different from the Goman,” I 
said, trying not to sound too defen- 
sive. The interns and nurses seemed 
to be avoiding my eyes, as if the 
issue were slightly embarrassing. 

“Yes," Dr. Weber agreed. “It’s 
too bad Mrs. Clinton was not 
successful.” 

Were I a German, chances are 1 
would never see a hospital bill. Most 
Germans are covered by “sickness 
funds,” to which they contribute 
through payroll deductions. The av- 
erage contribution — evenly divided 
between employee and employer — 
is 13.4 percent of gross salary. 

In return, Germans get access to 
one of the most sophisticated medi- 
cal systems in the world, with elabo- 
rate benefits and the freedom to 
choose their doctors. Virtually ev- 
eryone is covered. 

The German system has draw- 
backs, to be sure. Doctors are paid cm 
a fee-for-service basis, so there is an 
incentive to overtreat. Patients have 
little reason to economize or moder- 
ate iheir use of the system. like the 
United Stales, Germany is struggling 
to contain spiraling costs. 

But for a German, good medical 
treatment without fretting over 
costs is a birthright. 

Before Dr. Weber turned again 
for the door, he noted that American 
reformers have periodically studied 
the German system as a possible 
model. “Wc certainly have problems 
with our system,” he added, “but my 
estimation is that on the whole it 
serves the patients very well” 

He wrote my discharge order. 1 
had won, but victory felt a bit hol- 
low — not because I regretted avoid- 
ing a dozen days in an orthopedic 
ward, but because in this minor mo- 
ment of cultural comparison it was 
difficult not to feel like a runner-up. 

What upset me, as an American, 
was the tacit acknowledgment of my 
country’s collective failure to solve 
the perplexing structural problems 
in our health care system. It's rare in 
Berlin — a city grateful for being 
brought back from the dead by the 
United States — to fed less than 10 
feet tall as an American. But I 
couldn't help feeling slightly dimin- 
ished by this episode. 

Maybe it’s just the cast 
The Washington Post. 

Letters intended for publication 
should be addressed " Letters to the 
Editor " and contain the writer's si- 
gnature, name and full address. Let- 
ters should be brief and are subject 
to editing We cannot be responsible 
for the return of unsolicited ma- 
nuscripts. 


IN THE LAKE OF THE 
WOODS 

By Tim O’Brien. 306 pages. 
$21.95. Houghton Mifflin/ Sey- 
mour Lawrence. 

Reviewed by 
Michiko Kakutam 

I N summary, Tim O’Brien's 
new novel, “In the Lake of 
the Woods,” sounds like a fast- 
paced thriller, the sort of book 
that mig ht easily be made into a 
movie starring, say, Harrison 
Ford and Michelle Pfeiffer. 

The story, on the surface, is 
simpler- John Wade, a rising po- 
litical star, decides to run far the 
Senate; in the course of the cam- 
paign, serious allegations are 
made about Wade?s past, and he 
loses in a landslide; several days 


BOOKS 


WHAT THEY'RE READING 


• Anode Aimte, the actress, 
is reading “ Where the Jackals 
Howr by Amos Qz. 

“This is a collection of short 
stories in which the lives of indi- 
vidual Israelis are set against the 
background of community life 
in a kibbutz. I can tdl after read- 
ing two pages that it’s his work. 
In the same way I can tdl wheth- 
er Fellini, Visoonti or Renoir has 
directed a film I am watching.” 

( Margaret Kemp, IHT) 



later, he and his beautiful wife. As related by O’Brien, how- 
Kathy, take a vacation in the ever, there is nothing simple or 
remote Minnesota back country; strai ghtf orward about this sto- 
after an argument, Kathy disap- ry. Rather, be tries to turn this 
pears and when an extensive thrifle riik e premise into a philo- 
search fails to turn up her body, sophical mystery, a Conradian 
the police begin to focus tiieai journey into the heart of dark- 


suspicions on Wade. 


CHESS 


By Robert Byrne 

L ATELY such dosed, posi- 
tional systems against the 
Sicilian Defense as the Rosso- 
hmo with 3 Bb5 have gained in 
popularity, but in this game the 
■play devolved into sharp tao- 


would give Mm good value in 
return. 

Anand, perhaps thinking that 
the battle of the two mating 
attacks favored him, turned 
down the small gift in favor of 
22...ed 23 Qcl Qc5, intending to 
blast open the afr-al file. But 


ness and the nature of evil. 

The results are a mixed lot. 
At limes, “Lake of the Woods” 
glows with the fierce, radiant 
magic erf O'Brien's remarkable 
Vietnam fiction, “Going After 
Cacdato” (1978) and “The 
Things They Carried” (1990); 
more often, it devolves into a 
painful collection of portentous 
cliches reminiscent of his lugu- 
brious 1985 novel, “The Nucle- 
ar Age.” 

Like “The Things They Car- 


tica. After 3-g6. it was iqwte ivanchik quickly made sure of . Like ^e Things They Car- 
dogmatic f or V asfli Ivanchuk to lines agamst the black ned,” “Lake of the Woods has 

saddle ■ Visbwanathan Anand with 24 £5! Bg8 25 g5! a . willfully complicated narea- 


: with doubled pawns by 4 Bc6 dc 
because, though cumbersome, 
they could not be attacked. 

After 10 O-O-O, Anand 
could . have the tame 

course, J0...Qd7, followed by 
1 1 ...O-O-O, but he had nothing 


with 10_Ne7 1 1 Bh6 O-O. 

Anand brought his knight 
into a beau tifuTfigh ting posi- 
tion with 16_JNd4 and mobi- 


kma with 24 f5! Bg8 25 g5! » wrnnuiy compncaica 

After25_a5 26 Rel!, Anand Strate^ *at calls into 
could not press on with 26 ...a4 question the very process of 
because27 gf Rf628e5! Rf529 storytelling even as it pulls the 
Rf 5 gf 30 Qg5 Kf8 31 Rfl! reader into its characters lives. 



yields White too strong an at- 
tack. Thus, 31._Ra7 32Rf5 Rf7 
33 Nf4! Rf5 (33...Qe7 34 Qh6 
Ke8 35 Qc6 Qd7 36 Qa8 Qd8 37 
Qd8 Kd8 38 Rf7 Bf7 39 ba Kc7 

40 a5 Kb7 41 e6 Be8 42 Nd5 
Bc8 43 Nc8 is a hopeless end- 
game for Black) 34 Qf5 Ke8 35 
Qc8 Kf7 36 Qd7 Kf8 37 Qd8 
Kf7 (37-Kg7? 38 Qf6 mate) 38 
e6 Kg7 39 e7 Bf7 40 e8/Q Be8 

41 Ne6 is decisive. 

Anand defended by 26.. Jg 27 
Qg5 Kh8, bat after 28 Nf4!, the 
rickety blade king position fell 
apart. On 28...gf, Ivanchuk 
played 29 Qh6! to threaten 30 
Ng6 mate, and after 29-..B17 30 
Qf6, Anand saw 30.JCg8 31 
Rgl Bg6 32 Rg6! hg 33 Q*6 
Idi8 34Qh6 Kg8 35 Rg2 Kf7 36 
Qe6 mate and gave up. 


MutCNUvwmns 
Pashfon after 28 ... gf 

hied for attack with 17.„b5 and 
ML r Qa5. When be rammed 
through I9^c4 20 Rf2 b4 21 
• N«2 c3, Iv anchuk offered his 
QWOk yrith 22 Nd4I7, judging 
marThftT«y>lf, knight and pawn 
that he woukl get for it after 
22^23 Nc6 Kg824Nf8Rf8 



SICILIAN DEFENSE 


nn 

Black 

nil* 

Black 

Ivandnk 

Anand 

Ivanchuk 

Anand 

1 H 

<d 

18 M 

NiH 

z rm 

Nrt 

17 It dll 

bS 

S BM 


IS Kbl 

Qaft 

* Hr S 


19 M 

<* 

3dl 

W 

20 RI2 

W 

(» 

rt 

11 Nr2 

c3 

7 BcJ 

M 

12 Nd4 


8Nc3 

re 

sr 

2S&] 


S Oil 
I0&OO 

art 

Nf7 

9 

11 BM 

0-0 

JO# 

fir 


MS 

Kfi7 

Z7Qg5 

a hu 

14 KH 

Ndf 

29 OM 

IS HS3 

NbS 

38. 5 

Resign 


In the case of “Lake of the 
Woods,” a not-so-omniscient 
narrator, who bears more than a 
passing resemblance to O'Brien, 
relates the story of John and 
Kathy Wade, piecing together 
the jigsaw puzzle of their lives as 
best he can. His knowledge — 
and hence, the reader's knowl- 
edge — is highly provisional. 
This narrator uses quotations 
culled from philosophy, psychol- 
ogy axtd literature to try to illu- 
minate John Wade's problems, 
and he also speculates freely 
about what may or may not have 
happened in his life. 

Gradually, a portrait of 
Wade emerges. We’re told that 
Wade was a fat, unhappy boy, 
haunted by the suicide of his 
alcoholic father. We’re told that 
he became an amateur magi- 
cian, and that magic not only 
gave him the illusion of control 
but also endowed him with a 
desire to manipulate reality. 

We’re told that Wade earned 
the nickname “Sorcerer” while 
serving in Vietnam and that he 
seemed to work magic tricks in 
his subsequent career as a poli- 
tician. charming voters while 
nimbly sidestepping questions 
about his past. 


That past, however, is abrupt- 
ly exposed by Wade’s opponent 
in a Minnesota Senate race, who 
reveals lhai Wade was involved 
in the My Lai massacre in Viet- 
nam. It is a revelation that de- 
stroys Wade’s chances of elec- 
tion. It is also a revelation that 
shatters Wade’s carefully con- 
structed sense of self. 

Having spent years trying to 
erase all evidence of his com- 
plicity, having spent decades 
denying his involvement in the 
massacre to himself, Wade is 
suddenly confronted with the 
truth of what he did back in 
1968. In doing so. be is forced to 
grapple with what he is capable 
of and who be really is. 

Kathy, loo, finds the My Lai 
revelations devastating, for she 
realizes that she does not know 
the man she has been married to 
for so many years. 

When it comes to describing 
John Wade's descent into actum 
madness, O'Brien stumbles bad- 
ly. making his hero utter inan- 
ities like “Kill Jesus” over and 
over again. The daily texture of 
his life is also poorly evoked: 
The reader never for a moment 
believes that Wade has actually 
participated in politics, much 
less node a run for the Senate. 

To make matters worse. 
O’Brien’s narrative pyrotechnics 
never off the way they did in 
“The Things They Carried.” 
They ultimately fed gratuitous, 
and mannered, much like the 
self-important comments his 
narrator likes to indulge in. 

“Can we believe that he was 
not a monster but a man.” this 
narrator says of John Wade at 
the end of the book, “That he 
was innocent of everything ex- 
cept his hfe?” 

Such heavy-handed passages 
paper over the visceral drama of 
Wade’s story, and they ulti- 
mately sap this novel of life. 

Michiko Kakutam is on the 
staff of The New York Times. 


Red Estate 
Morketobce 

Every Friday 
Contact 
FredRonan 
Tel.: (33 1] 

46 37 93 91 
Fax: (331) 

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m, Horn huk* me Hum. lor 






International Herald Tribune 
jwsaay, October 18, 1994 






K .&". 

m*: 



Chanel’s Monte Carlo: 


Lagerfeld Scores Again 


By Suzy Menkes 

International Herald Tribune 


P ARIS — Just when you 
thought there was no 
erode zone left to ex- 
plore. Chanel played an 
air on a G-string. 

On the backcloth was a vista 
of Monte Carlo beach — all 
spar klin g sea and pink washed 
villa. And there on the runway 
were skins flying open like a 
sail in the breeze to reveal 

rhinestone bikinis. 

Chanel’s show was fast, 
funky, flirtatious and funny. It 
made a dynamic ending to a 
lively Paris season. It also con- 
tained, amid the towering plat- 
form shoes with ocedle heels 


referring to the cliff-top villa he 
calls home (well, one of them). 
He managed to capture in his 
spring/ summer collection both 
the over-scale glitz and glamour 
of the COte d'Azur playground 
— and its blue-sky freshness. 

So although the glitter pail- 


same about Romeo Gigli's po- 
etic clothes, inspired by Africa. 

Gigli took his African theme 
both literally — with bustiers 
made out of beads, hoop ban- 
gles and heaped- up hairstyles 
Eke tribal warriors. And he 
used Africa as 8 deep inspira- 


lettes fringing jackets, the flung- don for prints that were Masa 
on feather boas and the hottest symbols or crackled batik pat 


PARIS FASHION 

hot pants in town spelled Dis- 


torts in green, indigo blue and 
madda red colors. 


The best of the clothes were 

the slim jackets in an exception' 


CO Lhe clothes suggested the al range of fabrics, sometimes 
beach and open air, rather than with buttons decorating the 
some downtown dive. The show pockets, or a rattle of beads at 

the hem. Sarong skirts, balkx'Q- 


ended with a scene re-creating a 


photograph of Coco Ch«nri in ing trousers and loincloths 
the 1930s, larking on Monte seemed too literal — costumes 
Carlo Beach in bl ack sweater, copied from a book. Yet Gigli's 
white pants and pearls. The sincerity is evident in the de- 
models came out hoisted on the signs. His veneration of native 
shoulders of hunky males — fabrics and his determination to 
wearing Lagerfeld’s take on the preserve them, reflect the green 
Chanel classics. thoughts of the ecologically 

. . . ... aware. The fashion wold is big 

And that was the point of the enough to absorb any designer 
show. It balanced the wacky with a strong point of view. 


So Karl Lagerfeld pulled it 
off again. Literally in the case 
or Claudia Schiffer who bent 
her runway rule of no bathing 
suits by flashing her itsy-bitsy- 
teeny-weeny b iinni from under 
a fluffy toweling robe. 

“It was an ode to Monte Car- 
lo,” Lagerfeld said backstage. 


wearing Lagofrid’s take on the 
Chanel riagacs- 


wiih the wearable. The ever-in- 
veative jackets came cropped as 
boleros, long and curvy, sweet in 
sugarcd-almond pastels or sober 
in navy. Stripped of gilt chains 


T 


HE shows close Tues- 
day, with designers 
mainly from Asia. 
Leonard's line is a hit 






■ ..31 

K&-. - 




t *'** I 


prm 

,v> . v ■ f yfC: 



and buttons (often replaced by a in the Pacific area because of 
zip fastener) the jackets were sdv- the colorful prints and the ban- 


zip fastener) the jackets were grv- the colorful prints and the ban- 
en a sparkle with metalli c glitter tam weight fabrics. Prints of 
in the fabric or a rhinestone bor- full-blown roses starred in 
der. Dresses were cut close to the Leonard's first show at the Car- 


body, sometimes patterned with rouse! du Louvre Monday. It 
a pnm of luscious lips, or in lacy started with a gaudy disco 
transparent knit over bikini theme but then developed more 


pants. The G-string played on sophisticated ideas, including 


throughout the show, but never graphic prints in gray or denim 
seemed sleazy — although bond- blue, and animal patterns on a 


seemed sleazy — although bond- blue, and animal pauenut 
age dresses (which have been slinky chiffon-jersey dress, 
done better by Gianni Versace) j 5 show still the tl 
added a false note. rw> iwvwt, 


L agerfeld is not 

above picking up ideas 
from others. The shoes 
that he claimed were 
from Audit Perugia in 1943, 
looked suspiciously like Vi- 
vienne Westwood 1993. A flash 
of G-string also appeared on 
Westwood’s runway last sea- 
son. But it is Lagerfeld’s genius 
with Chanel to keep the line to 


Is the show still the thing ? 
Barneys* Gene Pressman is one 
of many professionals who ques- 
tion the tune spent a niutMiay 
season, when shows run behind 
schedule and often mjyor in 
showbiz. Oscar de la Renta pre- 
sented his Balmain show Mon- 
day in the showroom, the better 
to display the fine workmanship 
of the elegant dotbes: jackets in 
rough-weave cream fabrics; 
flowing bougainvillea crepe 
dresses and others in fondant 


the beat of modem fashion — pink, fluttering in chiffon with 
and to make it sing. marbled nariungs. Evening was 


“Chanel! It’s always dotting 
the V of fashion — it sets the 
mood and the message,” said 
Joan Kaner, fashion director of 
Nriman-Marcm. Like all retail- 
ers. she praised a lively season 
that majored on glamour, color 
and fashion joie de vivre. Bur- 
ton Tansky, No man’s chair- 
man, said he believed that the 
customer who “has no qualms 
about rejecting what she does 
not like” will Uke what she sees 
next summer. 


“The customers are ready for 
it,” said Bloomingdale’s Kal- 
man Ruttenstein of the “young, 
peppy” Chanel as an ending to 
a “powerful week.” 


Lagerfeld s glitter G-string under a split dress for Chanel: top right, Jean-Paul Gaultier’s shiny jacket with flower-patterned pants ; John Galliano's tightly fitted suit. dorfGoodmamaeS^feuSe joy offashion. 


“It will look great in our win- 
dows on Fifth Avenue,” said 
Dawn Mello, president of Bcrg- 


tbe focus of the one because, de 
la Renta says, that is where the 
upscale client spends the mosey. 

The two great fashion mo- 
ments of the season were the 
high voltage glamour at John 
Galliano, when the show was 
staged against a background of 
vintage cars and Silver. Screen 
style; and Jean-Paul Gaultier s 
snow among gaudily decorated 
carrousels and dusty prancing 
horses in a fairground museum. 

Both shows had a nostalgia 
for the feminine allure that was 
thrown out when die pantsuit 
strode in. 

The new focus on the dress, 
in light fabrics and sweet colors, 
is pitched to a customer bora to 
overalls and jeans. The message 
from the European shows was 
the fun of dressing up and the 


EDUCATION DIRECTORY 


IffflBtNATIONAl. 


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Saturday, October 15tb 
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Saturday, October 22nd 
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Tuesday, October 25tb 

10M-&00pm 

Wednesday, October 26tb 
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Hongtoey, Bangkok 


Kaohsiung Chiang Kai-Shek 
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INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 


































Page 10 


INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 


Paris Museum Seeks Heirs of Art Booty 


By Bany James 

International Herald Tribune 

PARIS — In a haunting reminder of 
the Nazi pillage of French art works and 
the looting of thousands of Jewish 
homes, a score of p ainting s and drawings 
wnt on display at the Musee d’Orsay on 
Monday in the hope of tracing their 
owners or their heirs. 

Seized as war booty, the 21 works were 
among 28 returned by Germany earlier 
this year. 

The French government returned sev- 
en paintings to two unidentified families 
recently, including a Gauguin and a Co- 
rot, which one man remembered hanging 
in his room as a child. 

“He was very moved to get it back,” 
said Frantpis Renouard of the French 
Foreign Ministry, who has directed ne- 
gotiations with Germany and Russia for 
the return of stolen art works and ar- 
chives. Those left to be claimed include a 
splendid Monet landscape of snow in the 
setting sun, a Renoir portrait of his son, a 
Delacroix portrait of a young man, two 
drawings by Seurat, a pastel by Pissarro, 
a drawing by Manet, a watercolor by 
C£zanne and' a landscape by Theodore 
Rousseau. 

In all likelihood, the works belonged 
to Jewish families sent to death camps 
during the war and may never be 


Claimed. The Musee d’Orsay volt keep 
them on display until Dec. 14, but Mr. 
Renouard said there was no cutoff date 
for claims. 

A German officer entrusted the works 
to a soldier with orders to take them to 
Germany and wait for his return. 

But the officer never reappeared. The 
unidentified soldier hung on to the paint- 
ings for many years, and in 1972 confid- 
ed their presence to the Archbishop of 
Magdeburg under the secret of the con- 
fessional. 

France negotiated unsuccessfully for 
the return of the paintings, along’ with 
other cultural goods, from 1974 to 1988. 
With the reunification of Germany, ne- 
gotiations were resumed. Chancellor 
Helmut Kohl symbolically returned the 
Monet landscape to President Francois 
Mitterrand at a meeting in May. 

In the 1 5 years after the end of the war. 
West Germany returned more than 
60,000 art works to France and paid 
reparations for o there. 

Thousands more works taken to East 
Germany during the war were seized by 
the R ussians . France still is trying to 
obtain the return of state and private 
archives from Moscow. German troops 
seized files filling TA kilometers (4.5 
miles) of shelves. Since the fall of Com- 
munism, the Russians have sent back 


eight truckloads, about half the total. 

Mr. Renouard said. 

In a recent book called “The Rape of 
Europa,” the art historian Lynn H. Nich- 
olas details the staggering extent of Nazi 
looting throughout the occupied coun- 
tries. In France, the Germans raided 
71,619 homes and shipped more than a 
million cubic meters of goods to the 
fatherland in more than 29.000 railroad 
cars. 

Truckload after truckload of paintings 
and objets d’arl confiscated from Jewish 
families were dumped at the Jeu de 
Paume, just across the river from what is , 
now the Orsay museum. Senior Nazi 
officials, including Hermann Goring, 
took the choicest objects. 

Mr. Renouard heads the archive and 
documentation section of the Foreign 
Ministry, which itself lost part of its 
valuable collection of maps and globes 
during the war. 

He said that negotiations to bring 
back stolen an objects often founder on 
delicate diplomatic and juridical prob- ». -yaj 
lems. Many looted works, for example, [ ' 
have been bought in good faith by one or > 
more buyers. Claims risk touching off 
counterclaims that the French, and oth- 
ers, would prefer to avoid. 

Napoleon, after alL amassed a huge 
collection of art booty during the course 
of his conquests. Coco 



. 

“Coco Writing” by Auguste Renoir, one of the 28 major paintings returned by Germany earlier this year. 


SERVANTS: For South Africa’s Domestics, a Long Struggle for Freedom Is Far From Over KOHL: Victory in Hand, Now Comes the Hard Part 


Continued from Page 1 
or killed, human rights lawyers 
say. In one case shortly after the 
election, a domestic was shot 
and killed by her boss after she 
admitted to voting for Mr. 
Mandela, human rights lawyers 
said. 

“Wherever these people can 
be abused, they are vulnerable," 
said Aubrey Lekwane. deputy 
regional director of Lawyers for 
Human Rights, a South African 
advocacy group. “They can’t 
leave because it’s the last stop. 
Some are illiterate. There are no 
other jobs for them.*' 

For generations, the master- 
servant relationship has been 
the main meeting point for 
blacks and whites. The country 
was built with the expectation 
that the average middle-class 
white family would have live-in 
servants. Many otherwise mod- 
est, three-bedroom homes in 
the suburbs include maid’s 
quarters in the back. The most 
popular comic strip in the coun- 
try concerns a white household- 
er and her black maid. 

“Domestic servants are ubiq- 
uitous in South Africa," said 
Harry Dugmore, a co-writer of 
the comic strip, “Madam and 


Eve.” “If you have money, you 
have a servant It is die South 
African way.” 

There are at least 1 million 
domestics in the country, or 
about one in every five black 
adults in the labor force. Many 
leave their own children behind 
in poor townships or rural 
homelands a day’s bus ride 
away to scrub somebody else’s 
floors and change the diapers of 
somebody else’s children. They 
are often their family’s only 
breadwinner, usually divorced 
or separated, because, they say, 
most marriages wither in their 
absence from home. 

Many work Sunday to Sun- 
day with indefinite hours, rest- 
ing when their employer says 
rest, as one domestic put it. 
Some get only a few hours off 
every Thursday. They usually 
eat the £ 31113/5 leftovers and 
live free of charge in a tiny back 
room. 

U they are lucky, they make 
S150 a month, most of which 
goes to feeding and clothing the 
children ana grandchildren 
they do not get to raise. Most go 
home once a year at Christmas. 

“I do not have dreams, only 
worries,” Antoinette Dlung- 


wana said of the weight she car- 
ries as sole provider to four chil- 
dren and three grandchildren 
back home in TranskeL “As 1 
am g this meal, 1 am think- 

ing about them.” 

She rarely speaks to her chil- 
dren because her employer will 
not permit her to call home. To 
reach her family, sbe must get a 
friend in the post office to relay 
messages for her. 

That is the lesser of her indig- 
nities. She dusts the sofas and 
chairs but is not permitted to sit 
on them. She must move from 
room to room the one kitchen 
chair she is allowed to sit on, 
placing newspapers underneath 
before setting it down. 

“If I want to sit and talk with 
the madame, I have to bring my 
chair.” she said. “I cannot sit on 
her chairs. My things must not 
mix with her things. 1 must use 
my own spoon, my own plate, 
my own cup.” 

A hard life has gotten harder 
since the campaign last April. A 
few days before the election, 
Delsie Sedibe recalled, her em- 
ployer showed her a copy of the 
ballot and pointed to the pic- 
ture of Frederik W. de Klerk, 
the former president, and gave 


instructions: “This is what you 
vote for. Don't make a mistake. 
There is de Klerk. There is 
Buthelezi below him. You must 
be carefuL Mandela is light in 
complexion. Don't confuse him 
with de Klerk." She was refer- 
ring to Chief Mangosuthu 
Buthelezi, head of the Zulu- 
based Inkatha Freedom Party. 

The employer took her maid 
to the polls, as many did, and 
warned her again about what 
she must do. Mrs. Sedibe nod- 
ded and stepped inside. 

“When I was in the voting 
booth, it was only me and my 
God,” she said. *‘So 1 put an & 
next to Mandela.” 

Some time after Mr. Mandela 
won. Mrs. Sedibe was watching 
the news, after f inishin g the 
ironing, when she was asked 
what she was doing. 

“I want to hear what Man- 
dela is saving," Mrs. Sedibe 
said. 

“Why are you listening?" the 
master said. “That means you 
like him.” 

“He’s the president," she 
said. “He was voted by the peo- 
ple." 

“Oh, that means you voted 
for him, too " the master said. 



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. Job Title; 


A few weeks later she was 
dismissed. The job had been 
paying her S100 a mouth. 

The governments general re- 
sponse to labor issues has been 
that the Reconstruction and 
Development Program will help 
set the country on the right 
course to the benefit of all citi- 
zens, half of whom are unem- 
ployed. Mr. Mandela has put a 
priority on improving the econ- 
omy, creating more jobs and 
raising the level of education so 
that people like domestics can 
get better jobs. 

After hearing of Mr. Mande- 
la’s inauguration, Mrs. Dlung- 
wana was euphoric. A man who 
looked like her. was Xhosa like 
her, has her high cheekbones 
and regal, handsome face, was 
in charge of the country. 

But after it was over, she 
walked up the fire escape to the 
6- foot- by- 8 -foot (1.8-meter-by 
2.4-meter) cell-like room, light- 
ed by a naked light bulb, that is 
her home 1 1 months of the year. 
There is room for only a bed 
and the boxes she has made her 
closet. 

She taped a poster-sized pic- 
ture of Mr. Mandela above her 
hot plate. Then she thought 
about her life. 

“There is no change,” Mrs. 
Dlungwana said. “We are still 
treated exactly like slaves.” 


Continued from Page 1 
work of German unity. “If the 
Germans don’t r ealize now that 
Ger man unity as a historical 
event will be wasted if we don’t 
press ahead in parallel with Eu- 
ropean unity, then there is no 
hope for the Germans,” the 
chancellor said in a press con- 
ference Monday. 

Both brands of unity may be 
within Mr. Kohl's reach, but 
neither will be wholly successful 
if Germany becomes mired in 
the problems now threatening 
it 

Consider the country’s eco- 
nomic plight On the surface — 
and the surface is what Mr. 
Kohl chose to stress in the cam- 
paign — things look pretty fair. 
Inflation has dropped a bit, to 
just over 3 percent. Unemploy- 
ment has also come down, to 
just under 8 percent in Western 
Germany and under 14 percent 
in the East. Last year’s shrink- 
ing economy has been sup- 
planted by this year’s 2.S per- 
cent growth, including a boom 
of more than 8 percent in East- 
ern Germany. The country had 
a S39 billion trade surplus last 
year. 

But beneath these glad tid- 
ings lie intractable structural 
problems, which the German 
government has only superfi- 
cially addressed. More than 3-5 
million people remain jobless 


and there are signs that high 
unemployment may become a 
permanent feature of the Ger- 
man landscape. Germans work 
fewer hours and have the high- 
est wages and benefits (now 
creeping toward $30 per hour 
on average) than anyone else in 
the world, with predictable re- 
sults for product costs. 

Despite recent efforts to im- 
prove competitiveness by low- 
ering some business taxes, the 
country is ensnared in regula- 
tion and hobbled by a lack of 
workplace flexibility. For ex- 


hours are tightly controlled. 
Privatization and technological 
innovation are advancing slow- 
ly, at best. 

“The engine of recovery is 
running on two cylinders, for- 
eign demand and a construc- 
tion boom.” Rudolf Scharping, 
the Social Democrats' unsuc- 
cessful candidate for chancel- 
lor, observed during the cam- 
paign. “The other two cylinders 
are missing, capital investment” 
and domestic demand. 

Impressive progress in the 
East has come at the expense of 
a runaway federal debt and the 
transfer of some 500 billion 
Deutsche marks ($325 billion) 
from Western Germany in the 
last four years. The government 
now spends one mark in every 


seven on debt servicing and tha; 
most likely will rise 10 one mark ‘ 
in every four by 1997. according 
to the Federal Audit Office. 

Beyond the economy are a 
host of other domestic prob-. 
lems: persistent rightist vio- 
lence and xenophobia; disturb-; 
ing demographic trends, 
including a rapidly aging popu- 
lation; increasing crime; a trou- 
bled university system, and so< 
on. 

Some of those closest to Mr. 
Kohl suspect, however, that the 
chancellor wants to spend his. 
final term not in the bowels of 
German domestic policy but on. 
the sunny heigh is where states- 
men stand. 

A genuinely unified Europe, 
perhaps garnished with a per- 
manent German seal on the 
United Nations Security Coun- 
cil and routine German partici- 
pation in international peace-, 
keeping expeditions, would 
ensure Mr. Kohl's stature as a 
chancellor for the ages — “Bis- 
marck in a cardigan,” as Der; 
Spiegel magazine dubbed him. 

Whether domestic politics 
permits the chancellor to com- 
plete his European architecture 
and whether Mr. Kohl has the 
wherewithal to tackle German 
domestic problems will be 
linchpin issues in the new gov- 
ernment 


TUNNEL: Passenger Trains to Roll Under Channel in Mid-November 


Continued from Page 1 
day trading session on the Paris 
Bourse at a record low of 17.85 
francs (S3.47), off 6 percent on 
the day. 

The operator of the Channel 
Tunnel had earlier cut its reve- 
nue forecasts for this year by 
three-fourths, to 337 million 
francs instead of the 1.35 billion 
forecast in May. 

With freight shuttle trains 
and through freight trains up 
and running, and with through 
passenger service scheduled for 


next month, all that remains to 
be opened is passenger shuttle 
service, which will take passen- 
gers and their cars between Do- 
ver on the English side and Ca- 
lais. Thai service is expected to 
begin in late November or early 
December. 

Passengers and freight com- 
panies hoping to see the opera- 
tors of the tunnel trains muscle 
their way into the market 
through heavy price discounts 
were disappointed on Monday. 
Eurotunnel officials stressed 


that theirs is a “premium ser- 
vice.” 

“We do not seek to undercut 
the femes on price,” Sir Alas- 
tair said. “We will not buy busi- 
ness." 

Eurotunnel's commercial di- 
rector, Christopher Garnett, 
noted that the company's 
freight shuttles for heavy-goods 
trucks now ran 34 departures a 
day each way, with business 
building steadily. In the week 
ending Saturday, he said, the 
trains bad carried 1,725 trucks. 


Mr. Garnett also said that 
several delivery services were 
switching some of their busi- 
ness from airplanes to the tun- 
nel. 

Sir Alaslair proved his confi- 
dence in the tunnel's prospects 
by revealing that he had just’ 
placed an order for 5,000 Euro- 
tunnel shares. 

“1 will sell them when I have 
got a 50 percent return,” he 
said. He did not predict when 
that might be. 


DOLLAR: No Reversal b in Sight Following Currency’s Latest Tumble 

Continued from Page I One big question worrying some experts suffer major setbacks in next month's mn 


Sunday that seemed to imply a lack of 
concern with the dollar’s weakness, were 
enough to send the currency crashing. 
When it hit 1.4970 DM in Asian trading, 
the dollar was more than 2 pfennigs below 
its Friday close in New York and stood at 
its lowest level in two years. 

I On Monday, Mr. Bentsen said he want- 
ed to see the dollar stronger, but his com- 
1 men is were disregarded by the market. 

In Asia, the dollar also fell sharply 
against the yen, hitting 97.25 yen before 
massive intervention by the Bank of Japan 
drove it bade above 98 yen. But it fell again 
later in the day, to 97.65 yen. 

Analysts said that, as has been the case 
for much of the year, most of the activity 
came from banks and speculative hedge 
funds seeking short-term trading gains 


experts 

remain 


“They have stuck with the currency for a 
long time,” said Mr. Burke, who noted that 
in February the dollar stood at 1.7700 DM. 
A shift of sentiment in the corporate sector 
would knock out one of the few pillars of 
support the dollar still has. 

In the near term, experts see the doDar 
as heading still lower. 

Christian Dunis, currency strategist at 
Chemical Bank, sees it heading down by 2 
or 3 more pfennigs. Others see it going into 
the mid- 1.40s. 

Michael Burke, an economist with Citi- 
bank's foreign exchange department, not- 
ed that with Mr. Kohl’s government safely 
re-elected, “The question of political risk 
now switches firmly to the U.S.” The Clin- 
ton administration is widely expected to 


suffer major setbacks in next month's con- 
gressional ejections. 

While the dollar’s weakness has caught , 
many analysts by surprise, most see little 
sign of a full-blown dollar rout. 

What worries some observers is that 
U.S. statistics Friday showing lessened in- 
flationary pressures were presumed to be 
bullish for the currency. With the dollar 
actually dropping, some analysts ex- 
pressed concern as to how the market 
would respond to bad figures. 

The French franc also weakened against 
the mark, falling below its 3.4305 franc 
floor against the mark under the former 
fluctuation ranges of the EU’s exchange 
rate mechanism. In New York, the dollar 

“ d >“ at J.M30 fr ancs. compared with 
5-2138 on Friday. 

— ERIK 1PSEN 


CHINA: Swords for Plowshares RIFT: Prince Philip Rebukes Son 


Continued from Page I 

ere of civilian goods. American 
officials said the commission 
would pursue projects that 
would provide the Chinese with 
technology for “environmental- 
ly safe vehicles" and for air traf- 
fic control for civilian flights, a 
I job now handled by the mili- 
I tary. 

Westinghouse Electric Corp. 
and Raytheon Co. are both in- 
volved in negotiations already 
to provide air traffic control 
equipment, sources in Beijing 
said. And though a U-S. official 
traveling with Mr. Perry said 
that contract awards were not 
imminent, he hoped the com- 
mission would later help tilt the 
Chinese government toward 
U.S. contractors. 

Many military analysts say 
they believe the Chinese mili- 
tary wants air traffic equipment 
that would have military appli- 
cations, but U.S. officials ada- 
mantly asserted that any tech- 


nology given would be for 
civilian purposes and would 
have to go through the usual 
technology export licensing 
procedures. 

Mr. Perry also urged Chinese 
officials to make their military 
budget and planning more open 
in order to avoid misunder- 
standings. Military analysts be- 
lieve China’s official military 
budget is a fraction of its true 
military spending, for example. 

In what was probably a refer- 
ence to Japan, Vietnam and 
Taiwan, a senior U.S. official 
said secrecy would only prompt 
China's neighbors look at 
worst-case scenarios. 

The Perry visit has been aid- 
ed by several earlier missions. 
The meetings this week are the 
culmination of talks that start- 
ed almost a year ago when a 
senior Pentagon official. 
Charles W. Freeman Jr., came 
here to reopen military rela- 
tions with C hina 


Continued from Page I 

public. Two weeks ago. a book 
by an army major who claimed 
to have had a five-year affair 
With the Princess of Wales was 
published and another book is 
due out shortly on the princess 
by Andrew Morton. His earlier 
book, “Diana, Her True Story,” 
in June 1992, first revealed that 
her marriage was a sham. 

What the effect of all this is, 
and whether or not it seriously 
erodes the profoundly felt sup- 
port for the monarchy, is diffi- 
cult to determine. But on Mon- 
day editorial writers 
cdumnistsand some politicians 
were cranking away on a favor- 
ite subject: How much more 
revelation can we take? Quite a 
bit, apparently. 

The consensus, if there was 
one, appeared to be that Prince 
Charles had misjudged the pub- 
lic’s ability to extend sympathy 
and made a mistake in listening 
to a new crop of royal advisers? 


including his private secretary. 
Richard AyJard, who have beer 
wsag a policy of openness. 

Tk« ....1 «... 


The authorized biography 
was by Jonathan Dimbfcby, p 
^^Gtajjwmalist who pro- 
duced a Tv documentary lareo 
ty sympathetic to Charles * 
June in which the heir to the 
throne admitted for the first. 

time that he had committed 
adultery. 

k°°. k drcw upon 10,000 i 

or Charles s letters and diaries' 
and interviews with him and his; 
mends. The text was submitted, 
to Charles’s office for cotreo- - 
non of factual material. 

At one point, the book has 
c.tiaries comparing himself to jl 
SSK*" “ a Greek tragedy, * 
dunking: “How could FKl; 

^ 550 w°n*T Charles • 
Diana, who have two sons/ ? 
separated in 1992. Given the!, ! 
spate of revelations, many com-’ 
fhentators believe that divorce . 
“ now only a matter of time; •> j 

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THE TRIB INDEX: 1 17.73^ 

International Herald Tribune World Stock Index <£>, composed of 
280 internationally tnvestable stocks from 25 countries, compiled 
by Bloomberg Business News. Jan. 1. 1992 = 100. 

120 : 



Asia/Pacifte 


Approx. wej9hfing:32% 
CJosa 129.63 Prevj 129.79 


150 


Europe 


Approx, waiting: 37% 

Cause; 120.02 Pibvj 11807 

E9 


130 

►* w v #r, 



The Men hacks U.S. dotar values ot stocks re Tokyo, New York, London, and 
Argentina, Auotnfia, Austria, Belgium, Brad, Canada, Chile, Denmark. Finland, 
Franca. Germany, Hong Kong, Italy, Mexico, Netherto n da. Now Zealand, Norway, 
Singapore. Spain, Sw eden, Switzerland and Venaauala. For Tokyo, New York and 
London, the Men Is composed of the 20 top Issue) in terms of market captUtooHon, 
otherwise tie ten top slocks are hacked. 


V V"? 

I Industrial Sectors j 

* - i*. 


■ton. Pm. % 

dost doH eftang* 


Men. 

dm 

Pflf. 

dtoca 

% 

dung* 


Energy 

116.15 115.70 -10.39 

Capital Goods 

119.64 

119.12 

40.44 

UWths 

13026 129.47 40.63 

Ravlbtariab 

138.65 

137i7 

40.79 


Finance 

117.43 117.18 4021 

Consumer Goods 

106.69 

10658 

40.57 


Services 

12058 12056 40.10 

Mscsflansous 

12534 

125.15 

40.31 


For mom Information abotd (he Index,* booklet Isavaiable free of charge. 

Write to Trfb Index, 181 Avenue Chartes da GauHe, 92521 NouBy Codex, France. 


© Ms motional Herald Tribune 


GE Sells 
Kidder 
To Rival 
Broker 


Conpikd tv Oar Staff From Dupas&a 

NEW YORK — General 
Electric Co. said Monday that it 
was selling most of its troubled 
brokerage subsidiary. Kidder 
Peabody & Co_, to Paine Web- 
ber Inc. in a stock deal valued at 
$670 million. 

In a joint statement, the com- 
panies said Paine Webber would 
acquire Kidder’s retail business, 
which includes 1,150 brokers in 
50 offices. 

Neither company said wheth- 
er there would be layoffs after 
the sale. But one unnamed GE 
executive said that half of Kid- 
der's 5,000 employees would be 
laid off. 

Acquiring Kidder makes 
PaineWebber the fourth-1 argest 
U.S. investment firm. 

GE will get a 25 percent stake 
in the combined enterprise, as 
well as a representative on 
PaineWebbefs board. It agreed 
to indemnify PaineWebber on 
all of Kidder’s existing liabil- 
ities, the companies said. 

GE also agreed to pay an 
average of two weeks’ severance 
for each year worked to laid-off 
Kidder employees. 

PaineWebber will also buy 
Kidder’s investment banking 
and other businesses. 

GE has plowed about $1.4 
billion into Kidder since ac- 
quiring the brokerage in 1986. 

GE and Kidder executives 
said that under the stock swap, 
GE will receive 21.5 million 
PaineWebber shares, valued at 

$320 milliftn, $100 milli on in 
convertible preferred stock and 
$250 milli on in preferred stock. 

GE’s shares closed un- 
changed at $50,375 on the New 
York Stock Exchange, while 
PaineWebber's slock rose 12.5 
cents, to $15. (AP, Reuters ) 


Brewer’s Frothy Fortunes 

San Miguel, on a Roll, Looks Abroad 


By Kevin Murphy 

International Herald Tribune 

MANILA — Though few companies are 
better placed to profit from the nascent eco- 
nomic recovery in the Philippines. San Miguel 
Carp, is already looking abroad. 

Aided by a corporate streamlining and a 
strong upturn in consumer spending, the bev- 
erage, food and packaging concern reported 
Monday that its net profit soared 40 percent, 
to 3.1 billion pesos ($121.8 million), in the 
first eight months of this year from the like 
period last year. 

More of the same is expected, analysts say, 
as the newly stable Philippine economy prof- 
its from a wide-ranging program of structural 
reform that is leaving consumers — who 
spend about 60 percent of their income on 
food, beverages and tobacco — with more 
money to throw around. 

Economic growth in the Philippines hit 5.1 
percent in the first half of the year, sending 
economists scurrying to update their esti- 
mates. Now some of the more optimistic 
among them say growth could top 6 percent 
in 1995. 

Yet despite prospects for growth at home, 
San MigueTs most exciting opportunities may 
he in markets such as Indonesia, China and 
Nepal, the company says, as it comes under 
pressure from local competitors and the even- 
tual arrival of foreign rivals in its increasingly 
open home market 

“It will be a challenge to catch up with the 
growth in the Philippine market" Ddfin 
Gonzalez, San Miguel’s chief financial offi- 
cer, said. “It won’t be easy to expand here 
beyond our current relative size.” 

Already the largest company listed on the 
Philippine Stock Exchange, San Miguel’s 


turnover represents about 4 percent of gross 
national product The various taxes it pays 
account for 7 percent of government revenue. 

San Miguel dominates the local beer mar- 
ket, with close to a 90 percent share, and it 
sells Coca-Cola's line of soft drinks in the 
tropical, thirst-inducing Philippine climate. 

The recent end to the country's crippling 
electricity shortages, with power outages last- 
ing as long as 12 hours a day, suggests a 

The China market will be a 
distribution game. We’re 
working hard to get control 
over the market and the way 
our beer is distributed. 9 

DeU3n Gonzalez, San Miguel's chief 
financial officer 


considerable upside for a producer of soft 
drinks, ice cream and other perishable food 
items, 

“Who wants to go out to eat in a hot, dark 
restaurant?” Mr. Gonzalez asked. 

A joint venture with Nestl£ SA bodes well 
for the development of San Miguel’s sales of 
dairy products and fruit drinks, while a 30 
billion peso modernization program since 
1988 promises greater efficiency m its pack- 
aging and meats divisions. 

“Consumer tastes and needs are going to 
change with more prosperity,” Mr. Gonzalez 
said, “and we are looking for opportunities in 

See MIGUEL, Page 13 


Renault Valued 
At $7.4 Billion 
To Start Sell-Off 


Bloomberg Business flews 

PARIS — France valued 
state-owned Renault SA at be- 
tween 39 billion French francs 
($7.4 billion) and 425 billion 
francs Monday in its first step 
in the public sale of Europe's 
sixth-largest car maker and 
fourth-largest truck maker. 

The government said it 
planed to sell about 28 percent 
of the company to the public in 
the next few weeks. 

Investors worldwide, includ- 
ing institutional investors in the 
United States, can place orders 
for Renault shares beginning 
Tuesday, Economy Minister 
Edmond Alphand&y said. 

“It’s an important moment 
for the Paris stock market, since 
a major French industrial com- 
pany will be added,” Mr. Al- 
phandfay said. 

The sale will occur no later 
than Dec. 15, and probably by 
late November, and the exact 
price will be set the day before 
orders are filled. The govern- 
ment may slop accepting orders 
on or after Nov. 3. 

France could raise about 12 
billion francs from the sale and 
still hold 51 percent of Renault. 

The government said it would 
not give up control of the auto- 
maker, which employs about 


100,000 people in France, unless 
Renault fanned a strategic alli- 
ance with another company. 

The sale is part of the center- 
right government’s program to 
sell state-owned companies, 
both to decrease the state's role 
in industry and to raise cash to 
narrow the government budget 
deficit. France plans to raise 55 
billion francs both this year and 
next from asset sales. 

Starting Tuesday, individuals 
can place revocable orders for 
the shares from commercial and 
savings banks, and institutional 
investors must submit offers, 
which the government said 
could be from 163 francs to 178 
francs a share. 

The government plans to sell 
from 62 milli on to 70 million 
Renault shares to the public 
and 6 million to company em- 
ployees, reducing its stake in 
Renault to about 51 percent 
from 79 percent. 

The price range of 163 francs 
to 178 francs a share was estab- 
lished by the four advisory 
banks to the government and 
Renault and is in line with esti- 
mates by the state's privatization 
littee, which has nc 


committee, 


not yet 


See RENAULT, Page 12 


German Stocks Slip Amid Worry on Spending Policy 


By Brandon Mitchener 

International Herald Tribune 
FRANKFURT — Fiscal responsibil- 
ity, not the number of seats in Parlia- 
ment, will be the way markets ultimately 
judge the new-old German government, 
the Bundesbank and economists said 
Monday amid market jitters over the 
potential for fiscal slippage. 

While the Deutsche mark rose to a 
two- and -a- half -year high and bond 
prices climbed on Chancellor Helmut 
kohl's narrow election victory and the 
prospect of continuity in economic poli- 
cy, the 30-share German Stock Index 


succumbed to profit- taking, falling 
14.85 points to 2,090.88. 

The Bundesbank and others took the 
occasion to warn against any sign of 
wavering on the subject of the federal 
spending. 

Hans Tietmeyer, the Bundesbank 
president, advised Mr. Kohl and his 
aides to work quickly to convince mar- 
kets of their will to consolidate federal 
government finances, beginning with ex- 
penditure cuts that would earn trust 
with financial markets — and the cen- 
tral bank. That trust is a condition for 
lower taxes in a later stage of fiscal 


consolidation, he told the Frankfurter 
Allgem cine Zeitung. 

Mr. Kohl, meanwhile, promised to 
continue his government’s “successful 
policies.” But some private economists 
warned that the opposition Social Dem- 
ocratic Party’s new strength in the upper 
house of Parliament could lead Mr. 
Kohl’s center-right coalition to flavor 
important legislation to the Social Dem- 
ocrats’ taste to ensure its passage. 

Given the opposition's ability to 
block legislation, “it Is doubtful whether 
the new government will have the politi- 
cal will and power to implement all the 


painful spending cuts” needed for debt 
reduction, Goldman, Sachs & Co. econ- 
omists said in a commentary. 

Others speculated on the potential for 
coalition infighting that could lead to 
another election before long. 

On the whole, however, economists 
appeared more relieved that Mr. Kohl 
will stay in power than worried about 
fiscal irresponsibility. 

“A consolidation of federal finances 
is already programmed,” said Annin 
Kayser, a senior economist at Swiss 


See GERMANY, Page 12 


m * 

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it a* It- 1 .. . ■ 

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TuiiiM' 


Thinking Ahead /Commentary 


Changing the Rules for the EU Club 


By Reginald Dale 

International Herald Tribune 

W ASHINGTON — Here’s 
something that sounds like 
an entertaining idea. 
France’s minister for Euro- 
pean affairs, Alain Lamassoure, is pro- 
posing that die European Union be enti- 
tled to throw out members it doesn’t like. 
One imagines Greece as the first to go, 

for economic incompetence and general 
obnoxiousness, with Britain and Den- 
mark next, for lack of commitment to the 
European ideaL 

Unfortunately, perhaps, that is not 
what Mr. Lamassoure is proposing. He is 
not trying to evict any of the Union’s 
current members. He is simply urging 
that dub rules be amended to provide for 
voluntary departure or expulsion, but 
only in tie most extreme cases of politi- 
cal apostasy. 

Neither of these is possible under the 
current rules. But as the club gets bigger 
and expends to Central Europe, Mr. La.- 
massoure says it would be wise to have 
such legal instruments at hand. 

The plan might suit some people ad- 
mirably. It coincides with a suggestion 
from Norman Lamont, a formerBiitish 
chancellor of the Exchequer, that his 
country may one day want to withdraw 
from the Union — a prospect that some 
of the Britain's long-suffering partners 
might view with relief. 

But it is alarming to many others — 
particularly to countries outside the 
Fiench-Gorman “hard core” now form- 


ing at the Union's center. In Washington 
last week. Prime Minister Anibal Cavaco 
Silva of Portugal weighed in heavily 
against the idea. 

His fear is that an expulsion proviso 
might be used to pressure or threaten 
countries unable to keep pace with the 
leaders. Rather than be disqualified from 
the Union, he argues, laggards should be 
granted waivers from the rules and en- 
couraged to catch up. 

Mr. Lamassoure, of course, is not tar- 
geting such good Europeans as the Por- 
tuguese. His specific concern is that the 

If a country tried to 
leave now, it would create 
a horrible legal mess. 

Union have the legal authority to evict a 
formes' Communist country that re- 
lapsed into totalitarianism after becom- 
ing a member. 

Other new entrants might want to 
leave voluntarily — perhaps after a 
change of government, Mr. Lamassoure 
says. Less tactfully, he adds, if exit pro- 
cedures had existed in the past, candi- 
dates for voluntary departure mi gh t have 
included Denmark after it rejected the 
Maastricht Treaty in June 1992, or Brit- 
ain if the Labor government had failed to 
renegotiate the terms of British entry in 
the 1970s. 

Mr. Lamassoure wants any divorce to 
be amicable. The departing country 


would withdraw from the Union’s cen- 
tral institutions but could stay in the 
single market. 

It is true that if a country tried to leave 
in present conditions, it would create a 
horrible legal mess. But the reality is that 
it would not be kepi in the Union against 
its will. If all the other members wanted 
to eject a relapsing communist country 
they would find a way to do so. 

The most serious objection to Mr. La- 
znassoure's plan is that it would chal- 
lenge a basic tenet of European integra- 
tion: that as membership is irrevocable, 
the only way to solve differences is to 
negotiate a compromise in which every- 
one’s interests are respected. 

While this approach has slowed the 
pace of integration, it has at least kept 
everyone on board. It is certainly much 
less likely to work in a Union of 20 or 
more members. 

But the French government and Mr. 
Lamassoure have already provided the 
answer by proposing a Europe of con- 
centric circles, m which the outer rings of 
countries are progressively less tightly 
bound to the center. 

Those unwil ling or unable to keep up 
with the leaders would settle in the circle 
that suited them best. Nobody would 
actually have to leave the Union. 

Juridically speaking, Mr. Lamas- 
soure’s suggestions make sense. But po- 
litically, they will arouse deep suspicions. 
To others, it will look too much as if 
France wants to set the terms of mem- 
bership for everyone else. 


KiTTYHAWK~J) 


Klk«‘ 


CURRENCY & INTEREST RATES 


i Ep R> hlth ' !i _% 


w 


uns-Hr*- 1 ' 1 ' 

HU**" 1 ’ 
#$*** * 
th' ’ 
»«■ b' ' 

JiV 

$ Mini-*' 


t ft DM. FJF. Lira 

Ul 2 JK U 39 USB UOM- 

un 4Mi aas sws aw 

UBH 24 W Vrtl 0577 * 

UN 2415 J UW M 7 M 

UN* 


nuns mm me urn 

uwa M77JS MBJS BUS HUO 

IhwYMAI MWo W* lie L8Uf) W9 — - 

f*rt» un UN5 ijea — U3S5- in 1* «»£ «■* 

DIM • M 1S7J1 M34 ISJ2 UK SM MSS 173* IMS WW 

TMI, |» un UW MM- UN MM- UB77 U»- UW* 

zSST iSt un own toot un* •*» *«"- — van- ua uow 

vku um WB U1B iM W Ml un 

ISDN MM U2D 7JM ZBI23 2902 JIMS II5W M5M 1JK H££t 

C hahe t M Atmteraom, London, New York and Zurich. Birinas In other" centers," Toronto 

TnliwMr pound! b: To boy one dollar ; Units at IBO; Mft: not Quoted; AW.: not 


B Jr. 

IF. 

Yen 

Oct 17 
CS Peseta 

Eurocummcy Deposits 




OcL 17 

*444* 

U44S 

217525 

urn* 

UUB 

U4 

sax 

1347* 

M3SS* 


Dollar 

D-Mark 

swtu 

Frame 

Sterling 

French 

Franc 

Yen 

ECU 

un* 

UM2 

UM» 

1.193 

12025* 

1 moatti 

4Vti-5 

4 9V4 *k 

34*3 

SUeSYi 

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2 Vr2 »>. 

5Vfa-5*fc 

49741 

4M9 

IffQ* 

99733 

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G3J97 * 

2.17B 

BUB 

2HM 

Smooths 

59W-5 9W 

HI* 


5Hr6 

5V»-5S« 


STArS * W 

4MM 

12300 

1170 

U3US 

WIT 

6 months 

S<Mrd«. 

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4MI-4W. 

6M.-64k 

S%.-S*fa 

2*e-2Vi 

6 <.w* 

3013 

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use 

1XB 

1 year 

6 Wp 6 rt. 

nLHk 

JTJvffl 

4W7» 

7Mfc 

6V«-64fa 

2 W2 -v. 



Sources: Renters, UorOs Bank. 

ttotua rrtlcatf e to Interbank denosltsofsi mliaenmMMum (oroOnlvtdanH. 


mx# .. 
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Comma' Pw* 
onwkdrec. ZHJO 
Km Komi V® 
Hana. forfait wan 
mthn rupee 3133 
MO.rapM 3173JR 
irtmi IU2M 

I men (feet- 3JBa 
Kuwaiti (floor 02906 
Matey, rift*. 15 M 5 


P*r* 

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Antral, x uuas 
AMr.KML 105 © 
Iratfa rate U3 

nua ntoww asm 

CUKfaJnr» Z US 
BopWifarMC iin 
■oral. Mead UK 


Currency 
Max. pan 
ILZaatenOft 


PULIMM 
PuiMltetv 
Part, escudo 

RUft. rafale 
amKBrtyu! 
SfankS 


Per* 

1*14 

14399 

>«w 

2530 

23313. 

13348 

ntttt 

175 

14728 


Currency Per* 

5. Afr. ranfl 3547 
S.Kur.MM 80000 
SuwLkrom 72223 
Taiwan I 20.11 

TtailwM 25.85 

TaiUMlira 34874, 
UAE tertian 14727 
Veaez.t»ttv. 

16X0057 


K«y Homy Rates 

United state* Clwe 

DilCOMIIratt 400 

Prlmrata 7*i 

Federal fundi 440 

ShbmRiCDb 401 

Goam. over no day* £53 

s-moatti Treatary bill 404 

1- yea* Trecanv faff! 558 

2- year Treasury note 655 

3- rear Treasury nett 7IS 

7-mar Treason! note 728 

16-rear Treasury note 750 

36-year Treasury bond 703 

Merrill Lyncfa3May Ready aate 4.19 


IV 

1VS 

2U> 


Forward Rato* 

Cuqaocv »dor A-dey »*4lw 

Pwd atari lau 


ConateOBdulter 


■Mar 40-day 90-day 
13560 13540 13358 

7741 7737 7707 


14064 146*9 146*9 

U626 13006 13640 

1253? 12*44 12*65 

tern- W 6 An* (AmoNfdomU tndosese sank (BnsseM: Bonar^nmwrdab /mtfaw 
Aseno Francs Fnsoe W bom of Tokyo (Token); Ronrl Bank of Canada 
(Toronto): IMF ISDK). Older data trem Ronton and AP. 


EHscuuatrate 
Can meaty 
VanmHi Interbaok 
hnontii intertaoR 
t-moatft hiieitiuMc 

10-rear GevmnmeBtlKwd 

OerdMay 
Lombanlrate 
Can money 
l-rooart> Interbank 
smantfa brierbaefa 
4sD6nni brtwfam* 

1 e-year Bind 


Pr«v. 
400 
736 

Atm 

402 
552 
40* 
£57 
654 
725 
728 
750 
703 
4.19 

IV 
29b 

Vim 
2 H. 21b 
2 *. 2 
420 4J1 

600 600 
43) 4*0 

500 350 

520 516 

*00 *30 

727 738 


Britain 


Book base rate 

5% 

PA 

CaBmoaer 

60a 

s% 

Hnaath taferbaak 

59b 

SVj 

3-moath tetertaak 

5«. 

9k 

6-meath Interbank 

64U 

6 V, 

w-voorewt 

A46 

804 

Prance 



hdemsittan rate 

500 

500 

Call money 

5V. 

SVm 

1 -month btterbwiJk 

5 'A 

So. 

3-meotti interbank 

5V» 

5Vj 

t-monfh Interbank 

ft 

5% 

N-narOAT 

807 

800 


Sourmn: neuters, BleemUera, Merrill 
Lvncn, Bonn ot Tokyo, Commerzbank, 
Grwnwfl Atonfooa Credit Lrannais. 

Qotd 

Zurich 
London 
New York 

UJ, dollars per ounce. London official flx- 

Inos; Zbrten tout Mew York oocotngondcho- 
too Prices; New York Came * < December.! 
Source: neuters. 


AM. 

PM. 

CtPge 

38905 

38925 

4- US 

388.95 

38900 

4-1JB 

39070 

392.10 

4-110 





.^7. 


ii 


Let’s get it Wright, men. 


>» 


JBp'B 


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Page 12 



MARKET diary 


INTERNATIONAL HERALD TRIBUNE, TU ESDAY. OCTOBER 18, 1994 


Inflation Optimism 
Buoys Wall Street 


Via A»odarsd Proi 


The Dow 


Daifydosings of the 
Dow Jones industrial average 


EUROPEAN FUTURES 


Compiled by Our Staff From Dupatdia 

NEW YORK— Clock prices 
ruae Monday as optimism 
ab'jut inflation and third-quar- 
ter earnings offset worries 
about a weak dollar. 

The Dow Jones industrial av- 
erage closed 13.46 points high- 
er, at 3,923.93. 

But declining issues led ad- 
vancers by an I l-to-10 ratio on 

U.S. Stocks 

the New York Stock Exchange. 
Volume was 238.4 million 
shares. 

Shares of cyclically sensitive 


earnings for the quarter ended 
SepL 30. 

Offsetting confidence in the 
economy were worries about a 
weak dollar, which fell against 
the Deutsche mark after Chan- 
cellor Helmut Kohl’s narrow 
victory in Sunday’s German 
election. 

The benchmark 30-year 
Treasury bond closed flat at 96 
7/32. to yield 7.83 percent, un- 
changed from Friday. 

Chemical Waste Manage- 
ment, the most active NYSE 
issue, added I ‘A, to 9fc, when 
WMX Technologies increased 
its offer to acquire the 21 per* 



Pow Jones Averages 

Open High Low Lad Chu. 

Indus 390174 3TO1Q3 3901 .05 3*73.93 -13 « 
Trans 1494.72 1490.77 1*0.59 1*95X5 —0.70 
IJril 1B2JJ 1B7.W 181.57 III 98 
Comp 129+ X7 130433 1797 58 1337 -J+ • I 63 


, , , I COPPER CATHODES (High Grade) 

Standard & Poor’s Indexes iM^pameraiwi 

. ljiat zbi nn nn no 



Metals 



APT 



Prevtan 

Mar 


Bid Ask 

Bid 

AS* 

June 

ALUMINUM [High Grade) 




Dollars per metric ton 



Avg 

tool 

1698X0 1699X0 

1991X0 

1692.00 

Sep 

Forward 

1715.00 1720.00 

1HJ7X0 

170X00 

oa 


s«t aei.oo s 

„ Fcrwora 747600 3 

High Lew Clow Cirge ■ lead 

Industrial} 558.12 556.13 55710 + gj4 • pwtorapermelrlchni 
T ran so. MS/) 36J .98 2*3.14 - CXI I M0X0 

Ulllllles 15155 »51W 15259— 0.93 Powort 651 DO 

Finance <157 <124 <136 -006 I NICKEL 

SP500 <6958 *«.14 HSJ% -o.i* , poifore per melrie Ion 

SPI0Q 43553 <3175 4K4I — 0X5 I Soot tSiilC 6 


MI .DO I«U0 34S1M »U0ll 
747600 7<77in 7481.00 248100 


6*000 64100 6<1 JO 64250 

65100 65200 65300 653J0 


NYSE Indexes 


High 

LOW 

Last 

OW. 


Hfl 25 

257 51 

25’ 96 

—0 C3 


175X3 

374X5 

374.97 

-0» 


233.81 

23111 

21157 

-c.ra 

UtBltv 

20676 

305X1 

2040) 

-0 9) 

Financu 

705 50 

:m.7j 

M5 10 

—0 23 


NASDAQ Indexes 


I Scat 6555JX 656000 657000 658000 

; Forward 666500 666600 «45JC 667500 

TIN 

Dalian ner metric ton 
Soar S3SCOO 538SOO 540000 5*0500 

i Forward 546000 546500 54*000 548500 

: ZINC (Special High Grade) 

1 DeQan per metric tan 

Seel 1QS3XO 105*50 104*00 104500 

; Forward 1C73JS 107400 106*00 106500 ; 


■ Financial 

High Law Dose Change 1 
! M40NTH STERLING (LIFFE) I 

. E500000 - pts at in pet 


companies such as steel, mining cent of Chemical Waste, 
and paper benefiied from the California Micro Devices 
market's upturn. slumped 6%, to 716, after the 


International Paper climbed company said it had launched 
Ifc, to 79%, after Scott Paper an investigation into account- 
become the latest paper maker tag irregularities. 


to post better- Lhan -expected 
profit. Scott Paper went up i, to 
63%, and Georgia-Pacific 
gained 1%, to 78£. 

With little economic data to 
influence investors Monday, 


Tobacco and international 
oil stocks were among the big- 
gest gainers. Philip Moms Cos. 
gained 1%, to 61%, in anticipa- 
tion of the tobacco and food- 
maker's third-quarter earnings 


many chose to focus on last on Tuesday, traders said. 


week's inflation-friendly reports. 

Consumer and producer 
price reports that showed the 
economy growing steadily but 
without undue inflation eased 
investors’ fear that the Federal 
Reserve Board would soon raise 
short-term interest rales. 

Investor confidence also had 
a boost from strong corporate 


Royal Dutch added IVi. at 
114%, and Arco rose 114, to 
102 %. 

Fast man Kodak declined VA, 
to 48%, when the camera and 
photo equipment giant said in 
an internal memo that it would 
freeze hiring and reduce expen- 
ditures because profit was un- 
der pressure. (AP, Bloomberg) 


RENAULT: Sell-Off Under Way 


Continued from Page 11 free the company from govem- 
established a definitive price for ment control and give it more 
Renault, Mr. Alonanderv said. rpom talks with other 

Of the shares' offered to the au { OI ?S. ers -. ... , D 

public, 60 percent are reserved Volvo AB 

For individuals and the rest for off ? merger with Re- 


HYSE Most Actives 

VoL Mali Low Lost On. 

Oiwste 42357 9W 8 Vi 9Vs -IV, 

EKodok 34731 <9 479b 48'* -IV* 

FordM S 28114 79'/] 79 79 V. — 

RJRNOb 27180 6» 6*6 6*9 — •'it 

PtlilMr 22804 617, 60V, 61!% -14, 

PooSCp 72779 ITU- 17 17 — 

MCDnlds 19605 28 241* 27*4 -H 

GenB s 1957a sos so 50*6 

AnwnlEi 19331 19*6 19V. 19*4 - 

GnMotr 18806 4714 *6*, 466, — 

AMD 13557 7316 22*, ZRb • 

MierTei 17489 35 33*6 33W — *j 

TolMov 14831 63*1 67*4 62 V. —X. 

SwsrAin 15792 2151 20h 21V, — Vi 

BrMySQ 15639 59M 57*. 59 -19b 


NASDAQ Most Actives 


TrocrPt 

Intel 

Gereia 

Ptocvr 

APwrCnv 

Novell 

CoMUO 

Me+honx 

AOOleC 

Gsaj, 

NtneOr 

VL5J 

SunfiMc 

TefCmA 

MO 


AMEX Most Actives 


Vlacvrt 

ViocB 

US AlC 

CctKiBay 

GfWvLrw 

Amdhl 

WIMrd 

Viacom 

TWA vto 

xa Lid 


Com Bov Ur 

industrials 

Banks 

insurance 

Finance 

Transs. 


767.68 7653* 765X6 —I 72 
779.90 773.72 77954 —OiS 


977 J9 924.93 92? Ji • I CJ 
925.50 92261 939 44 —290 
706.70 703.79 70545 -113 


AMEX Stock Index 


Dec 

9X62 

93X5 

0341 

Mcr 

T2X* 

97.75 

97 CJ 

Jun 

92J7 

911? 

9126 

Sep 

91X3 

91X2 

91X2 

Dec 

91X0 

9140 

91 49 

Mar 

91J5 

71.16 

71X5 

Jun 

91.08 

90.98 

91.08 

Sep 

90.90 

9080 

W_90 

Dec 

9077 

9074 

PUtt 

Mar 

90_ra 

90X4 

90.72 

Jua 

906* 

9042 

9M9 

sen , 

9063 

9041 

90X7 


4S8.S9 4SS.CO 453 r< 


Dow 4ones Bond Averages 


Mali 

Law 

Last 

CDS. 

IV- 

1 

IVn 

- '.' 3 

St'A 

57V, 

Wn, 

—lf u 

5'A 

*» 

5v u 

— sv,. 

3 'A 

2U 

2W„ 

— 6V,, 

18 

16’« 

166i 

— Pu 

16* 

15% 

1 S’/. 

— '■* 

9V« 

7H 

7't 

-Pi 

16* 

lPUu 

16’n 

* | 

41* 

38 A 

394a 

— IV, 

27^1 

27 

37 

— *s 

7* 

6*4 

TU 

* 'J , 

12* 

11 

12 

-k* 

S1K< 


30V, 

—’<1 

S3 1 Vi, 

23'-i 

23*u 

- *+ 

25V4 

24M> 

VPht 

-Vi*, 


VoL 

H*Bh 

Law 

LOSS 

dip. 

133492 

1% 

IV„ 

l'u 

— '*U 


40H 

39*+ 

40S 

- 


6 

5 Si 

5S 


4503 

13',. 


13 


5409 

2W 

2+. 

?*/3 

— V| 

533* 

9H 

9 

?'■« 

e !,*! 

5322 

1156 

|1V, 

Il’/i 

—'4 

4450 *15u 

*0% 

41S 


*425 

2 V. 

171 

l‘V M 


317B 


IS 

11* 



20 Banov 
10 utilities 
10 industrials 


NYSE Diary 


Advanced 
Declined 
Uncharmed 
Total touts 
NewHioto 
New Lows 


AMEX Diary 


Advanced 
Declined 
Unchanged 
Total issues 
New Highs 
New Laws 


NASDAQ Diary 


Advanced 

Dedirai 

Unchanged 

Tore! issues 
New Higns 
New Lows 


Est. volume: *7.953. Ooen Int.: *73X81. 

3-MONTH EURODOLLARS (L/FFE) 

to. ■ Si million - bis ot loo act 

; Dec N.7. N T. 94.13 Uncn 

U-3* I Mar 9X72 9172 9X73 — 0X1 

i Jim N.T. N.T 9X34 — 001 : 

_ Sea N.T N.T. 9X01 —002! 

Est. volume: 50. cnett im.: 4J46. ! 

M 3-MONTH EUROMARKS (LIFFE) 

— DMi million -pts of imps 

rse ; Dec 9434 94Ji 9432 +0X3 

Mar 74XG 9**6 9458 +0X6 

X-‘ 4 I Jon 9425 94C8 942* ♦ XOfl 

nSi -Sep 913S 9X71 9187 +0X6 

^ Dec 9X55 9139 9153 +0X6 

Mar 93X8 9X13 9127 + 0C4 

— 1 Jon 93X4 92.91 9X02 + 0X&! 

> Sep 9X25 tui 9162 + 0.06 | 

Dec 91£5 9X53 7X65 +0X6 

Mar 9X52 9X+0 9X52 + 0Xo 

Jon 9139 9X33 9142 + 0C3 

Sen 92X0 9X23 7133 + 0.06 

; Esl. volume: V70X69 Ooen In:.: 658X48. 

1 1-MONTH PI BOR (MATIF) 
i FP5 million -atsafi 00 pci 
D ec 9417 9410 9416 +0X2 

Mar 9X77 9X68 9175 +0X2 

_,4on 9X42 9134 91*0 + 0X1 

See 73X6 93X0 9X06 + 0X1 

'Dec 9176 916fl 9X75 +001 

MOT 92X3 9146 715= +0X2 

, Jus 9134 9177 7X3= +0X2 

: See 9119 9115 9119 +0X3 

| i Est. volume: 4 1,491 Ooen inf.: 175 J04. 
i i LONG GILT CLIFF E) 

QCXOO - PtS & Ends of 100 PCI 
I , Dec 122-17 101-1, 1 (22-13 +0-21 

Mar N.T. N.T 101-16 +0-21 

1 Est. volume: 61071. Ooen Ini.: 91459. 

; GERMAN GOVERNMENT BUND (LIFFE) 
DM 250X00 - pti at 100 ect 
__ Dec 91.17 39.97 71X4 +169 

Mcr 9CX3 89X5 <KL24 +0J1 

EK. velum: 24L331 Coen lilt.: 16X861 
19-YEAR FRENCH GOV. BONDS (MATIF) 

, FF5OM00 - PIS at TOO per 
I Dee line 111X8 111.90 + 0X8 

Mar 11130 11036 111.14 +0X8 

Jim I lira 110.73 11038 +0X8 

i Sep NT N.T. NT. Uncn. 

; EsI. volume: 157X87 Openin'. 1*1680 


Wafa Lew Lost Settle Clrtre 

A nr 15X75 15125 15X75 15175 + 22S 

SEr 5ZXS 15X75 152JS 15X75 +WS 

JuZa 1S25 152X0 152X5 15X25 +XB 

j^T NX N.T. N.T. 15825 + Z» 

Aug N.T. N.T. N.T. 155X5 *223 

SS N.T. N.T. N.T. 15425 +Jg 

Oa N.T. N.T. N.T. 159X0 +U5 

Est. vphime: 9X57 . Ooen Int. 102.173 

BRENT CRUD E OtLl IPE).. — 

m « dollars aer oorreHah of MM WNO 
2± ItM 1U4 IW1 15.9V +ftM 

14M I5JD 1ST* 15.94 +0-14 
m I6JJ3 15X5 )6X2 15.94 +M8 

Mar 16X3 15.98 16X2 15.96 +0.jf 

J£T 16X0 16X0 16X0 15.98 +0XJ 

££« 16X2 16X2 1602 1601 +0-11 

Jan N.T. N.T. N.T. 16X3 + 5‘Ii 

JhT 1600 1600 160D JftflO +D.M 

i™ N.T. NT. N.T. 1603 +0X3 

N.T. N.T. N.T. 16X3 +0.® 
M N.T. N.T. N.T. 1&J13 +CLW 

nS, N.T, N.T. N.T. 1603 UK*- 

Est. volume: 22*62 . Ooen Int. 146*09 


Stock Indexes 

Hied Low Clou COtmae 

FTSE 100 (LIFFE) 

05 per index DOlRt 

ss w 3 nx m t« 

Est. volume: lit”- Ooen mt.: MMMX 

CAC 40 (MATIF) _ 

SS ,, *" r, SW"l , M3XB l|16 * -3fjg 

22 IS IS 

3Sr T "W BSS 

SM N.t! N.T. 197000 — 240C 

Esr. volume: 20.MX Open int.; 62X81. 

Sources.- «e(l/. Associated jW ». 
London Int'i Financial Futures Excwnoe- 
Int T Petroleum Excfianoe. 


Phrktonda 

Cwwwny P®r Anti R*C POT 

IRREGULAR 

NYS ElSrfjOS OdlpiB - J97S 12-7 1-1 

STOCK 

winter Scam - * * >0-28 11-22 

REVERSE STOCK SPLIT 
C amounted Inc I for 10 reverse Wilt. 

STOCK SPLIT 
Microchip Tech 3 tor 2 split. 

INCREASED 

Fst Fid Bncptn O JO |WJ 


Thomson Cu 
Valiev FSvBk ShHkt 
Vermont Fin Sva 


g .125 11-17 12-15 
_ .60 10-25 114 

Q .17 10-28 11-25 


Vermont Fin Sva Q .17 10-28 11-25 
REDUCED 

Lincoln Natl Inca O -28 11-21 11-4 

REGULAR 

_ XI 13-16 H-30 

D £S 11-1 11-15 

Q .11 11-2 ll-K 

Q X75 11-4 11-30 

Q L50 11-4 U-30 

Q 1-625 11-* 11-30 

a .os ii-u ti-23 

Q .0275 11-18 12-9 
irvTneAptmhtComm O J* 10-31 1}-30 

Lincoln NalCnvSecs Q j* »L2] 1M 

O j 09 10-31 11-10 
o-<maaal; *+n,M« In Canadian tvodi; m- 
monthir: n-auanerir; s-semJ-atmooi 


a vain inc 
Century BnCPA 
Deichamos Inc 
Fst Cnicaoo oalpt 
Fst Oilcooo odlpfB 
Fst Cltlcaao odlelC 
Franklin Elect 
Frontier Adi Amer 
Irvine AotmntComm 
Lincoln NalCnvSec: 
Utd Carol Beams 
versa Tecta 


institutional investors. In the after its shareholders ob- 
case of heavy’ demand from in- J ecte< ^ citing the French gov- 
diWduals. 15 percent of shares e ™ r P e ° l * c ontmued control 
offered to institutional inves- and lack of guarantees of a pub- 


Marfcet Sales 


tors can be sold to individuals. 
Private investors may bid for 


lie share sale. 

Volvo currently owns about 


NYSE 

Amex 

Nasdaa 

In millions. 


Spot Commodities 

Commodity Today 

Aluminum, lb QJ71 

Cooper elect roll tit. lb 1J?I 

Iron FOB, ton =13X0 

Lead, lb 0A2 

Sliver, trov oz 439 

Steel Iscrapl. ion 117.00 

Tin. lb 3455* 

Zinc, lb 0 J=7 


Industrials 


/l -47 • n‘t“ 

“lis ! GASOIL (IPE1 


Lost seme arse i 


UX. deltan per metric lan-loM of 1M tom 
NOV 1*9 71 1*475 74175 149.00 + I JO 

Dee 151.3) 1*675 I Si 50 151X0 +2X0 

JM 15350 151.75 1SL25 IS125 +ZC0 

Pea 1SSXO 15625 75500 155X0 +225 

Mcr 15525 15225 15525 155X0 +2X0 


Cetiiu ofhnap ot hcuuiei. fiinciil 
lima o> unarm is real nw psfinhed la 

itui nmpapci we aat nabonicJ ib cauin 
pUdiOM a >M ik lomutmisl IktiU 
Tnbonc n tfiunbvlr*. uuladni ike L’mlc* 
Siui of AmaiCB. ud Jc nm raMiOBic 
gHi+«c. al iccwnia. hi.ren o* aureui b 
ihoe ;-.riU<cii«a. Ike UmuMul llctaU 
Tnkwc uimki ao lopanuhiliqr vkHurem 
L* bw vlren Mima breflcinipefaiy bad 


a maximum of 60 shares. Those 20 percent of RenattiL It agreed 

who own so-called Baliadur last month to sell at least 8 g^Tr^nikir A ‘VrV . n „ ~ 

bonds may buy an additional 60 ^ lch ^ company (yfiftMAil I ! Stocks Slip Amid FlSCal* PollO‘ Concern 

shares if they cash in the bonds when the sha*e offer was made. t 

to pay for them. n f! Continned from Page 11 Social Democrats have said ale de Paris, meanwhile, said 


About 5 percent of Renault's P™[ il ° f 1 ® 7 bimon francs, one 
capital will be held by about a f" “ le fcw European carmakers 
half-dozen French institutions, if pos 1 a profit m the recessioa. 
Bids from potential core share- profit could double this year 
holders are due Wednesday. a S ain “1 l ??5. analysts say. 

Morgan Stanley & Co. will , month, Renault report- 
manage the sale of an uodeter- a first-half pretax profit in- 
mined. number of shares in the of 124 percent, to 1.71 

United States, a senior aide to ^on francs, on fiat sales of 
Mr. Alphandery said 8 9-9 btihon francs. 

Die chairman of Renault, First-half operating profit, 
Louis Schweitzer, has been lob- however, fell 1 1 percent to 688 
bying for a speedy sell-off to million francs' 




Continued from Page 11 

Bank Corp. in Frankfurt, not- 
ing plans for spending cuts and 
tax increases that were made 
before the elections. 

“Actually there’s not much 
left to do next year." he said. 

Many economists also say 
fears of fiscal slippage attribut- 
ed to the power of the Social 
.Democratic Party are unfound- 
ed 

Like the Christian Demo- 
crats and Free Democrats, the 


ale de Paris, meanwhile, said 
they would aim For eonsolida- Mr. Kohl had at least two years 
tion. Oskar Lafontaine. who — until the next state elections 
was to have become finance — to “do the right thing." 
minister if the Social Demo- 

crats had won Lhe elections, re- While the opposition's strength 
cently called for European give*, it the power to block legis- 
Union guidelines on fiscal con- ,a tion. he said, it also encour- 
solidation — which Germany ages cohesion in the governing 
does not now meet — to be coalition. 

made even more restrictive, not . . 

^ Along with structural unem- 

ployment, reducing lhe federal 
Alexander Blaich. an invest- deficit is a key economic priori- 
mem analyst at Banque Nation- tv. 


Transamerica to Sell 
Unit to John Hancock 

Bloomberg Business Sens 

BOSTON — John Hancock 
Mutual Funds said Monday it 
had agreed to acquire the mutu- 
al fund unit of Transamerica 
Corp. in a transaction valued at 
about S 100 million. 

Transom erica's mutual funds 
management group is based in 
Houston, where it will continue 
to operate. 

The merger was the second in 
a week in the S2. 1 trillion Amer- 
ican mutual fund indusuy. 


U.S. /AT THE CLOSE 

U.S. Inventories and Sales Climb 

WASHINGTON (Combined Dispatches) — Business inven- 
tories rose 1 percent in August, the biggest advance since a 1.2 
percent rise in Mav, the Commerce Department said Mondav. 

The gain was larger than economists expected, and was impres- 
sive given the fact that it came in a month when retailer*^ 
wholesalers and manufacturers reported the largest sales growth 
— 3 percent — in almost eight years. fAP. Bloomberg) 

Apple and Intel Earnings Rise 

NEW YORK (Combined Dispatches) —Apple Computer Inc. 
and Intel Corp. posted gains »n quarterly comings Monday, with 
Apple crediting heavy demand for new products for also helping 
to generate record sides. , . 

Apple’s sales in the fourth quarter of its financial year ending 
Sept. 30 were 52.49 billion, up 16 percent from $2. 14 billion a year 
ago. Net income was SI 14.7 million, up from just $2.7 million in 
the 1993 quarter. In addition to the revenue growth, the company 
cited higher gross margins as a percentage of net sales, and rower 
operating expenses. 

Intel said third-qurater quarter net income rose 13 percent, to 
S659 million from S5S4 million a year ago. boosted by an already 
announced sale or the company's programmable logic device 
assets and settlement of various insurance claims. Net income 
totaled 5659 million, compared with 5584 million for the 1993 
quarter. f Knight-fodder, Bloomberg) 

MCI Forms Mexican Phone Venture 

WASHINGTON (Bloomberg) — MCI Corp. and Grupo Fin- 
anriero Banamex-Accival SA. Mexico's largest banking company, 
announced Monday they would form a joint venture called 
Avan tel SA to challenge Telifonos de Mexico’s monopoly in long- 
distance telephone service. ' 

MCI will spend SI SO million immediately and $450 million over 
the next several years for 45 percent of the company. 

The new company plans to invest an initial $650 million to 
construct a fiber-optic cable link between Mexico City. Guadala- 
jara and Monterrey. By 2000. Avantel will invest SI. 8 billion to 
build a 12.000-mile network in Mexico, according to MCI. 

NationsBank Records Higher Profit 

NEW YORK (Combined Dispatches) — NationsBank Corp. 
on Monday said its third-quarter profit increased 26 percent The 
bank attributed the rise to loan growth, tighter control on ex- 
penses and improved credit quality. 

Net income totaled $431 million, compared with 5341 million. 
Although the results were in line with analysts' expectations, they 
included losses of S4 million on sales of securities, compared id 
securities gains or SS0 million a year ago. 

Separately. First Chicago Corp. said its third-quarter net in- 
come fell 46 percent, mostly because venture capital gains were 
lower than a year earlier. Net income fell to 5153.8 million from 
$284.1 million a year earlier. The bank's stock fell 25 cents to 
$46.75. (Kmght-Ridder, Bloomberg) 

Cost Cuts Give Upjohn Good Marks : 

NEW YORK (Knight-Ridder) — Cost cuts and growth in sales 
outside the United States helped Upjohn Co. report third-quarter 
earnings on Monday that beat analysts' expectations. 

Upjohn recorded net income of 5134 million, compared with a 
loss of 530 million a year ago. The year-earlier results included a 
5216 million charge for restructuring. Sales in the quarter declined 
4 percent to 5839 million. 

Upjohn's third-quarter U.S. sales, which fell !6 percent, were 
hurt by price decreases caused by competition in the generic 
market. Non-U.S. sales rose 14 percent. 


W— tend pox QtBct 

The Axxnaaird Pnxs 

LOS ANGELES — M Pulp Fiction" dominated the U. S. box 
office with a gross of $9.2 million over the weekend. Following are 
the top 10 moneymakers, based on Friday ticket sales and estimat- 
ed sales for Saturday and Sunday. 


1. "Pulp Fiction" 

2. "The SoedcrtbT' 

X "Wes CrovenH New Nightmare" 
4-THe River wlkt- 
X-LlNIeGlanU" 

4 "Only You" 

7. “Forrest Gump" 

6 "Exit to Eden" 

9. "Tlw Sftawsiwnft ReaemoHan- 
IB. ~Ouli Show" 


(MinamaxJ 
(Wot nee Brothers! 

I Net* Line Cinema i 
(Urtvenan 
twamer Brothers! 

1 TrIStar) 
(Paramount) 

(Stnar Plaures) 
l Columbia) 
tHfrthmood Pictures) 


sfjmlutan 

*8.9 mUlton 
S7.T million 
ILS million 
SX* million 
MJ million 
UJ million 
W.l million 
1X5 million 
«J million 


Sernon Season 
High Low 


Oam Hgh Low Ow» Chu OaJnt 


6.40 76 

77 79 


Helsinki 




Apwr-Yhtvmo 

Enso-Gutzeir 

HuMamakl 

ICO.P. 

Kvmmono 

Metro 

Nokia 

Poniola 

Reoo la 

Stockmann 


IDO 101 
4430 4470 
14? 149 

10AO 1QAQ 
134 13? 

150 150 

fflW 600 
74 72 

1413 101 

289 265 




Hong Kong 


as 


V - uW 


Season Srasai 
High Low 


Ooen H«h Lew Cose Chg op.ln» 


IF !62 

306 307 

2355 2365 ISA Brews 
651 665 1 St Helena 
B50 850 

319320,90 


BfcJV 3339 3315 

SCO Central Hl». 3110 3l*o 

Bcnco Santander *980 gm 

Boncsto B3S 819 

CEPSA 3280 3295 

Dmgoaos l?*0 1915 

Enema 5710 5740 

Ercros Iai 16S 

Iberdrola B40 836 

RWKOl 3915 3930 

Tabocalero 3310 3250 

Teiefonica 174S 1760 






Sydney 


Amcor 

ANZ 

BHP 

Baral 

Bougainville 
Coles Mver 
Como i cn 
CRA 
CSR 

Fasten Brew 
Goodman Field 
ICI Australia 
Magellan 
MIM 


65* 842 
X78 173 
2B 19 Ji 
340 136 
1 1X5 
416 415 
S30 X25 
19X4 1690 
4*6 445 
1.19 1.1B 
IX* 1X4 
10.92 10X* 
177 176 
271 273 


Nat Ausl Bank 1DJ0 1070 

News Carp 8X8 &25 

Nine Network 3X6 3.90 

N Broken Hill 3X4 3X2 

Poe Dunlap 402 4 

Pioneer urn 3X2 XXi 

Nmndv Poseidon 2X0 2J5 

OCT Resources 1 J6 rx* 

5antos 3X9 3X5 

TNT 242 2X4 

Western Minina 403 7X9 

Westooc Bonking 437 429 

Woodslde 48* 4X8 

AHO g tae , a j tf „:2» MJ 0 








Toro Aisle 


To Oar Readers 
Sao Paulo stock 
prices were not 
available Monday 
due to problems at 
the source. We re- 
gret the inconve- 
nience. 





• 16 31X21 

• 13 21X88 

• 9 7.718 

• 9 3JM7 
+9 1X25 

• 2 496* 

-2 157? 
— 2 312 
-7 11 


tOLAS 6X45 
.490 7774 
*500 5X09 
+490 1.241 
♦455 710 

+ 3X0 354 

+ 1JB *72 
♦ 2JS8 55 
‘2X0 




OHITISH POUND iCMER) uwimM-inwwMlinMi 
1J9S0 1X500 D(C 94 15922 1X126 1X902 1X010 • 160*3X30 

15940 1 *640 Marti rxoao IXIK IXOU 1X074 .158 371 

15800, 153*BJun9S 1.404 >19 I 

Es». sales NA Fri'v sales 10X83 
Fn"s open int 43,909 up 1W 

CANADIAN DOLLAR (CMER) IweMwnwnuHII 
07470 0.7D38DSC94 0.7388 07388 07356 07377 —3 35X15 

0-76® QJW0NWW 0730 0.7377 07355 07372 ~i 1X43 

07522 0X9WJuf<95 07355 07347 073* 07341 -3 439 

07438 OWMSaP*S 07341 87341 07341 0.73* -1 441 

07*00 07tk0D*C95 8 7321 — J 43 

Est.scdes HA. Fft's.sdln 167*5 
Fri’looenM 38X30 off 3225 

*■ I BOWTBWIOllWIigQl 

0X404 05590 DecM 0X548 04700 06542 06675 .9318X71 

0X404 OSnOMcpOS 04577 0X711 0*577 04486 *95 4J64 

S-fSS <U7B0 M70 ° 0X700 06701 +98 611 

OXJ40 0X347 Sep 95 0,971 s *99 75 

Esl.wles HA. Fri’v io*S 54,795 
Frl s open Int 93X51 up 9002 

JAPANESE YEN 10050 ) p«r mrv- 1 paUH rauaM taoococi 

001 04900009 525DK 94 0X1031400101250.0102050 01Q39B « 62 57706 

*63 5754 

Mlo ^° ,054aunoi:i5n - aloM7 * *7 BS 

OXIOMffiUDOMIDqeOS 0010*60 .71 H 

EflMfcg Ka FtHv sales 33X98 " 

Rrl-so psnlnt 43750 un 284 . . 

SWISS FRANC ICMBU IPi f franc- 1 mM bib mil 106001 ^ 

07947 0X835 DeCM #7903 0BD40 07902 0.EO4I *104 3t29> W 

SiSI KSg£ oS S S !?S :|S 

gr-p-es nxl^fSvSS? *“ 1 

Fn-s open Int 39X1? up 4191 


Industrials 

COTTON 2 1 INCTN) Ijn l>+. nm par o 

77~5 59X8DSC9* 4970 69X0 4BXO 4844 —0150 21728 

7015 62-50 Mar 95 707U 71.24 7033 J03S ZojD 137*4 

7175 S’ 10 nM> ' , ' 45 4X0 

M7D 7J - 50 nji ”-79 71.93 -057 *X51 

7470 44X0 Oa 95 M45 0.15 <43 


it*, mi sows 1 
WsoPenW 50.976 up 398 


SJ 7 *-» 

S 7025 


Livestock 


7*-10 457000 H 4770 «X0 47X0 47X7 

7*70 6770 Dec 9* 49X7 6J.J5 40X7 4875 

7*75 66 A5 Feb 95 47.8S 6873 47X0 47.72 

75.W 4777 Apr 95 48X0 4875 67X7 47X0 

69 JO MJOJurfS 64X0 M.9S 4*J5 64X0 

48.10 61X0AUB9S 4*Xa 44.15 6X80 63X5 

<7X5 «4JOOd95 44.75 44X0 44X0 6850 

Est. sales 11.103 Fri’v sates 14.916 
Fri’so oenint am on 285 
FEEDS? CATTt£ [04ER) SUDBUs-oemsDerb 
81 J5 70.9500 9* 72.4? 72X7 71.90 71X2 

48X0 71 75 NOW 94 72.97 73.10 72XB 7?J& 

80,95 71.40 Jai 95 72-50 7270 72.15 72.17 

8075 7075Mar9S 7175 71X2 71J» 71X7 

7670 70.I0ADT95 7D.95 71.15 70.77 JH77 

7£T0 49X0 MOV 9S 70X0 70X7 TOSS 70X0 

73JH 69X8 Aug 95 70X2 70J2 7075 tots 

70.15 49X4 Sec 94 <9X5 49X5 4975 4975 

ESI. sales 1757 Fr.-j.sdM 1774 
FrrsopmuO 9.174 un 262 

HOGS (tMERJ «use u.' CBtnacr Q. 

4975 B.120S94 30X0 3170 30 £1 3071 

SflJO 33X7 Dec 94 33X0 3U5 5120 33X0 

50X0 3L10Feh9S 34.35 3472 35X0 36.W 

48X0 34X5 Apr 9S 36 45 34X0 3(70 3477 

47X0 4U7Jun9S 42.15 4115 41X0 41X2 

45X0 *3.12Jul95 42.10 42.10 <175 41X0 

43X0 41X0 Aug 95 41X0 41 JO 41X0 41X0 

40X0 39X2 Oa 95 35X0 38X0 38J0 38X0 

4175 39.00 Dec 75 3970 39X0 39X0 39J» 

E3. sales 5X65 FrTs. sates 8X59 
Fri's open .nt 31,939 up 530 
PORK BELLIES (CMERJ ICUIOO en-cwniwr fe 
40X5 3&X0FeO45 BM 38X0 37X0 37X5 

40X0 38X0 Mar 95 37X0 38X0 37X5 3773 

61.15 37X2 Mav 95 39X0 39X2 39X5 39.15 

5400 4PX5Jul*5 «« 40X0 39X5 39X7 

4400 39X0 duo *5 39 JI0 39X0 3875 30.90 

ESLhJcs txtf Fri’LSUeS 1X14 
Fri'toparM 10X33 up 227 


LUH-hbC (NOE) 77^00 S4-csna err b 
244.25 77.I0D*C«4 I79JB 207X0 179.00 

244X0 78X0 Mar 95 18150 212X0 18470 

344X0 aZXOMavOS 189XS 20175 18975 

74110 4100 Jul 95 190.75 20275 19075 

338X0 1*5-50 5ep 95 191X0 199X0 191X0 

742X0 41X0 Dec 95 193X5 197.00 193JS 

OTjM WMMMarW 20X0 20X0 2OX0 
Esi. sales 10X13 Fn's. sales (.933 
Fffsaneniftf 31489 up 5 93 
SUGAR-WORLD 11 UK3Q inxoota-cems 
9.I7MOT9S 12X3 12X» 

12X5 10X7 Mav 91 12J9 12X0 12X9 

12X4 10X7JUI9S 12X9 12X9 12X* 

12X9 I0J7CW9S 12X2 12-39 12X2 

12X0 UL88Mav96 11.91 11.94 H.9I 

11.80 lM8MOy*6 


—0X3 4X2] 
-0X2 28X05 
-0X3 14,739 
-0X5 11X43 
-0X2 1078 
-0.17 IX2» 
—0X5 191 


—045 1X31 

—042 4^97 

— 0X3 1X25 
—0X8 429 

-0.18 431 

-0.72 295 

—0X5 73 

-OHO 3 


-1X0 831 

—047 17,813 
-0X0 4JU0 
-043 1A72 
-0X8 1,431 
-0X5 429 

-045 282 

-OlH 205 
-0X7 34 


—OIO 8X79 

—075 955 

—070 270 

-0X3 243 

—0X5 57 


*15X0 14X67 
1 15X0 11,184 
*400 4458 
4 4X0 1X13 
*6X0 127 

*6X0 H 

*4X0 100 


*0X5 03,789 
*0X0 19.034 
-ai* 1X997 
<0 l16 10432 
•0.15 1444 
*0.15 9 


11.25 

70X1 

nxs 



7140 

7145 

-gjs 

4X02 


71.75 

71.93 


4A5< 

49X4 


49.45 

— A15 

543 

49X0 

48.90 

—8X7 



7000 

*45 

—OJ5 









w 

47X0 

*445 

47.15 

*144 280* 

*8*5 

47X0 

47.95 

+0J9 43XS8 

*9 JO 

4U0 

*8.85 

*0X4 33X87- 

*9.95 

*»40 

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2d Factory as It 

Co mmit s to U.K. 


INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 


Is Nestle Buyout Thirst Quenched? 

Chief Executive Says Geography Can Provide Growth 


Page 13 




Frankfurt London Parte . 

DAX FTSeWImtex, GAC4Q 


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Compiled by Our Staff From Dispatches 

- LONDON— The South Ko- 
rean electronics manufacturer 
Samsung Electronics Co. said 
Monday it planned to build a 
plant in northeast England that 
would bring more than 3,000 
jobs to the area. 

The British government is 
putting up £38 million ($92 mil- 
lion) of the £450 milli on invest- 
jnent in grants and loans, said 
■the president of its Board of 
.Trade, Michael Hesdtme. Oth- 
er assistance is to come from 
local agencies. 

In addition, Samsung has 
chosen London for its Europe- 
an headquarters, Mr. Heseltme 
said, and says it will open re- 
search and development and 
, training centers in England: 

* “This reflects the effective 
partnership between govern- 
ment and local partners in at- 
tracting inward investment,” 
.Mr. Heseltine said in Seoul, 
where he met with Samsung of- 
ficials. 

Samsung said the plant in 
Wynyard, in the county of 
; Cleveland, would make a range 
' of electronic equipment, begin- 
ning with mi cto wave ovens and 
commuter monitors. The plant 
•will be completed in phases by 


Arrest Ordered 
In Fraud Case 

The Associated Png 

BARCELONA —A Su- 
preme Court judge Mon- 
day ordered the arrest of 
the financier Javier de la 
Rosa for alleged fraud in- 
volving a loan to a compa- 
ny he formerly ran. 

The case was said to in- 
volve the company Gran 
Tibidabo, formed to build 
and ran a theme park in 
northeastern Spain. Mr. de 
la Rosa is suspected of 
fraud involving a 1 bSfion 
peseta ($8 million) loan to 
Gran Titadabo % Chase 
Manhattan Bank. 


The South Korean company, 
which was ran Ice d No. 14 m the 
1994 Fortune Global 500, has 

200.000 employees in 57 coun- 
tries. 

It already has a television 
factory at Biningham, Cleve- 
land, employing 300 people. A 
British government agency re- 
cently offered the company £2 
million to expand this opera- 
tion to create 240 more jobs. 

Samsung said the new move 
was part of its globalization 
strategy. Two to three other 
fully integrated production 
complexes are being planned 
for Western Europe ana one for 
Eastern Europe. 

Mr. Heseltine said Samsung’s 
move “is a dear sign of their 
satisfaction with their experi- 
ence of manufacturing in the 
UJC- until now and of their 
longer-term confidence that the 
business environment in Britain 
will bring them success, here 
and in Europe.” 

Samsung said that the com- 
plex eventually will produce 1 
million computer monitors, 

250.000 facsimile machines, 

250.000 personal computers 
and 3 million monitor tubes as 
well as 8-inch wafer semicon- 
ductors. 

It said that a plant capable of 
producing 13 million micro- 
wave ovens a year would begin 
production next August and 
that there were plans to build a 
television factory. 

( Bloomberg, Reuters, AFP) 


By John Tagliabue 

New Turk Times Service 

VEVEY, Switzerland — 
Nestl6 SA, the Swiss conglom- 
erate best known for its choc- 
olate and coffee, is looking to 
achieve further growth by 
finding fresh markets for its 
existing food and beverage 
products rather than through 
more costly acquisitions. 

Nestlfc’s purchase last mouth 
of Alpo, the American dog 
food brand, from its British 
competitor Grand Metropoli- 
tan PLC was the latest m a 
string of takeovers that includ- 
ed the British chocolate-maker 
Rowntreein 1988 and France’s 
Source Perrier in 1992. More 
recently, Nestle purchased 
Buitoni SpA of Italy. 

Helmut Maucher, Nestle's 
chief executive, is generally 
credited with having awak- 
ened a sleeping giant during 
his 13 years in office. He says 
that roughly two-thirds of 
Nestlt’s growth over the last 
decade came through acquisi- 
tions and one-third through 
internal expansion. 

“In the next 10 years the 
ratio will reverse,'* Mr. 
Maucher said. “We’re in all 
the fields we want to be in.” 

Mr. Maucher is hardly 
averse to further takeovers. 
But the main impetus for 
growth, he says, will come 
from geographical spread and 

internal exp ansi on 

For example, Mr. Maucher 
talks of selling Buitoni pastas 
or Kit Kai chocolate oars in 
Japan, or making Maggi dehy- 
drated soups, which are popu- 


lar in Western Europe, in Slo- 
vakia. 

For the moment, the stron- 
gest growth is coming from 
Nest! 4* s geographic spread, 
Crfedit Suisse, in a recent re- 
port, estimated that Nestle’s 
growth outside the mature 
North American and Europe- 
an markets was averaging 
about 15 percent annually. 

The leading region is Easi 
Asia, where Mr. Maucher said 
the company’s business was 


growing by 10 percent to 13 
percent annually. 

The revival of Latin Ameri- 
ca’s economies has made the 
region Nestle's second largest 
growth area, after Asia. 

In Eastern Europe, Nestle 
has purchased chocolate fac- 
tories in Poland and the Czech 
Republic and Is packaging 
Nescafe instant coffee and 
Nesquik chocolate in Hungary. 

To soften up the Russian 
market. Nestle is importing 


-.^eastles AnOverview ' 

: coffee and m3k- 

• Priqcljpai r ..,/C ; .’Mi»m8«?w6cab' vW .y-i-T Beverages 


Prepared tffehes, 






products 

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Source: Company reports 


instant coffee from its fac- 
tories in India, awaiting the 
day when Russia's legal and 
business practices are mature 
enough for a direct entry. 

Analysts said Mr. Maucher 
had introduced an unaccus- 
tomed pragmatism into Nes- 
tle during bis tenure, stifling 
distaste for deals with the 
competition by entering suc- 
cessful joint ventures. 

Nestl6 now cooperates with 
General Mills Inc. to sell 
breakfast cereals such as 
Cheerios in 25 countries out- 
side the United States, cutting 
into Kellogg’s dominance in 
Europe and Asia. Nestle's ce- 
real sales with General Mills 
have grown to $390 million. 

Working with Coca-Cola 
Co.. Nestte sells soft drinks 
such as Nestea iced tea and 
coffee in cans. 

Mr. Ma.ucher’s acquisitions 
have focused on Nesti&'s core 
businesses of food and bever- 
ages, where the goal was to 
obtain a commanding market 
share for Nestlfe brands. 

An illustration of this was 
Nestle's push into the mineral 
water business, where it be- 
came the world leader after 
taking over Perrier in France. 
With a buying spree in the 
United States, Nestl6 ac- 
quired Arrowhead water in 
California and Poland Spring 
in Maine. Nestle now com- 
mands a quarter of the Ameri- 
can market. 

“Springs are like petro- 
leum,” Mr. Maucher said. 
“You can always build a choc- 
olate factory. But springs, you 
have or you don’t have.” 


?8 ®U ! TF TXtnSy: 




Exchange tnctex ; 

Amsterdam AEX . . : 

Brussels ' Stock Index -; *: 
Frankfurt •; PAX ' ' 
Frankfurt ■ . FAZ . 

Helsinki 'HEX . 

London ■ ^ j Times 30 

Lomfawrt'' ''' 

Madrid . ‘ ' Gawrrf irtdBX 

Milan •.■.y.m&TEL : • 

Parts . CAC4Q • 
Stockholm Afiaarsvaeriden ■ . 
Vienna ■■ Stock index, 
Zurich SBS ' 

Sources: Reuters, AFP 


Monday 


40M4 . 
7£3ZB$ 
2,09088 
79SJ6 
'1^81^3 
2,40040 
3,12020 
30224 
10143 

1306.42 

147834 
431 £2 
917.57 


^°^TTTso 

1994 

Pwv. % . 
Close Change 

408.16- -fQ.07 

. 7,174-73 +0^7 

2.105.73 -0:71 

789.28 • +0.81 
1,961^7 +0J51 

2.391J20 +0.38 

3,106,70 +0.43 
302.82 -0.19 

10118 +Q-2A 

1^33-02 -138 

.1,864.56 +0.74 

430-22 +0.30 

921.18 -0-39 ■ 

International Heraki I'ntnme 


Roche Plans to Cut 5,000 Workers as Sales Slump 


Compiled by Our S&gf From Duptadua 

BASEL, Switzerland — Roche Hold- 
ineAG said Monday it would cut about 
5,000 employees over the next several 
months as it absorbs operations of the 
US. diugmaker Syntex Carp, and com- 
bats stagnant sales. 

The drag and chemical company also 
announced flat nine-month sales of 
10.73 billion francs ($8 billion), saying 
the strong Swiss currency had eroded 


earnings. In local currencies, it said, 
sales rose 6 percent 

It said it would take a restructuring 
charge of about 230 million francs this 
year but still expected higher profit. 

“Barring extraordinary events, net in- 
come for the 1994 business year can be 
expected to show a further rise over 1 993 
despite a charge for additional reserves 
of about 230 million francs for the 


planned restructuring of the pharma- 
ceuticals division,” Roche said. 

Although the sales were at the lower 
end of expectations, analysts were en- 
couraged by the restructuring because it 
showed Roche was proceeding swiftly 
with the integration of Syntex. 

But Roche’s stock fell to 5,800 francs 
from 5,905 francs. 

Roche, the inventor of the tranquiliz- 
ers Librium and Valium, completed its 


$5.3 billion buyout of Syntex. a pioneer 
in birth-control pills, on Aug. 31. 

The job cuts, amounting to about 8 
percent of the combined work force, mil 
come mostly through attrition and some 
early retirements, but some layoffs will 
be unavoidable, said Gaston von Glutz, 
Roche spokesman. 

Roche said the job cuts, which are 
already under way, would come all over 
the world. ( AP, Bloomberg, Reuters) 


MIGUEL: Philippine Brewer, on a Roll, Looks Abroad for Future Gains 


CostiBued from Page 11 


new value-added foodprodnets 
and market niches. There are 
pockets where things could be 
.■better, but on the whole we are 
very happy with the way llnngs 
are moving." 

• But bigger markets beckon, 
particularly for its famous beer. 

At the beguuing of the 
1990s, 10 percent of company 
revenue came from overseas 
markets. Now that figure is 15 
percent to 16 percent, with 20 
percent the target for 2000. 

The group has ice cream inter- 
ests in Guam and Taiwan, a 
plastic packaging plant in soutb- 




era China and a shrimp feed 
factoiy in China's Fujian Prov- 
ince. It is also negotiating for a 
glass factory in Vietnam while 
scouting India for opportunities. 

leading earnings in the near 
future, however, wm be brewing 
interests in Hong Kong, Indo- 
nesia, Vietnam and China, 
where the group is soon to an- 
nounce a major expansion, as 
wdl as a small stake in Nepal’s 
Mount Everest brewery. 

“In China a lot of deals can 
be dosed in the short teem,” 
Mr. Gonzalez said, “but you 
really have to know what you're 
getting into.” He rejected the 


criticism of some analysts that 
San Mrgud has been too tenta- 
tive in capitalizing on its pres- 
ence there. 

San Miguel’s beer sales are 
growing 20 percent a year in 
China, which has eclipsed the 
company’s traditional strong- 
hold in Hong Kong, where it is 
the leading brew. The growth 
has prompted the need to add 
brewing capadty, but the com- 
pany says its most difficult 
work remains to be done. 

“We could sell it all at the 
gate,” said Mr. Gonzalez of a 
market now 10 times larger than 
thm in the Philippines. “But at 


the end of the day, the China 
market will be a distribution 
game. We’re working hard to get 
control over the market and the 
way our beer is distributed." 

Judging from the market re- 
sponse to a recent bond offering 
by San Miguel, international in- 
vestors appear to believe the i 
company’s approach to China 
and Asia is working. 

The company was able to sell 
$115 million of bonds at 190 
basis points, or 1.9 percentage 
points, above the five-year US. 
Treasury note, a better rate 
than the Philippine govern- 
ment’s most recent bond issue. 


PUTNAM PREMIER INCOME PROTECTION TRUST 
FCP 

% boufqvard Royal L UXEMBOURG 
Dividend Announcement 

The Putnam Prrmirr Inmmc IVnlrrlhin Trust will par la its ftbarrltoldm on 
record date 20 Drinker 1994 a dmdi-nd of USD 0.05 per" shore north) [in A. 

Hie ilnrc* arc traded ex dhidrnd dale as from 20 Ortolirr IWl. 

Thr payments will be made nn 27 Ortnbrr 1994 

The Board of Directors of KKK Pntnam IHspaymml Company 


Very briefly; 

• Skoda AS workers held a one-hour strike to protest policies of 
the management, ran by Volkswagen AG, which include job cuts. 
■ Belarus’s president, Alexander Lukashenko, issued a decree to 
double the monthly minimum wage to 20,000 Belarussian rubles 
($3) and promised more benefits to pensioners and the jobless. 

• The Amsterdam court of appeals handed down its first comic- 
tion in an insider trading case, sentencing a Dutch businessman to 
six months in prison. 

• Montedison SpA, the Italian agrochemical company that almost 
collapsed last year, said it had finished renegotiating the final 
portion of its debt, at 345 billion lire ($220 million), with creditor 
banks. 

• French industrial production rose in September because of 
strong domestic and foreign demand, a survey of business leaders 
by the Bank of France said. 

• The European Comnusaoa started an investigation under EU 

merger r egulatio ns of the planned joint venture between Siemens 
AG and sTET SpA unit Italtel for certain teleconuxmnicaiion 
products. AP, Bloomberg. AFX. AFP 


On November 22nd, the IHT plans to publish 
a Sponsored Section on 

Lebanon 

Among the topics to be covered are: 

■ The reconstruction of Beirut 

■ Strengthening the asset base of the 
banking sector. 

■ The return of flight capital. 

■ The bidding contest for $2 billion in 
contracts. 

■ Rebuilding the tourism sector. 


F0r further information, please contact 
BiH Mahder in Paris at (32-1) 46 37 93 78. 
fsoc (33-1) 46 37 50 44. 

I V INTtKNATIllNAI. Mai « * 


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\ 7 


EVTERKATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 


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By Steven BruU pensive foreign products was 

International Herald THbme clear in September's 59 percent 
TOKYO — In a dear sign increase in auto imports and 42 
that Japan's trade imbalance percent rise in imports of audio- 
-has peaked and begun to con- visual equipment, 
tract, the government reported Still, the Finance Ministry 
Monday that the surplus fell in was cautious, warning that ex- 
September by 4.6 percent and change rates and oil prices 
declined over the six months could disrupt the trend. Growth 
through September for the first outside Japan also wfll mitigate 
time in three and a half years, against a rapid decline in To- 
In theory, the 0.7 percent kyo’s trade surplus, 
contraction in the half-year sur- Despite a 14 percent jump in 

plus, to $59.38 billion, should the value of the yen against the 
relieve upward pressure on the dollar so far this year. Tokyo’s 
yen and provide impetus to Ja- surplus with the United States 


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in’s stiu stow recovery from its grew to $5.8 billion in Septem- 
Dgest postwar recession. ber. Exports advanced 6J per- 
mit with, the trade surplus cent, to $10.9 billion, as imports 
L shrinking at such a leisurely rose 12.6 percent, to $5.1 billion. 
7 5r-: yr -ace, economists say the shift The surplus is likely to shrink 
B do little to weaken the yea. only when the U.S. economy 


will do little to weaken the yen. only when the U.S. economy 
Moreover, there is the uncom- loses its thirst for Japanese im- 
fortable fact for Tokyo that its ports. “We are confident that as 
trade surplus with the United the U.S. economy begins to 
States grew 2.4 percent in Sep- slow down over the next six 
teraber, its sixth straight month months, the bilateral surplus 
of year-on-year expansion. will start to decline in earnest,” 
“The surplus is not going to Baring Securities said in a note 
crane down all at once, but we're to investors. 


definitely past the peak and 
headed m the right direction,” 


Japan’s trade surplus with 
Asia expanded 113 percent, to 


said Boo Bevacqua, economist $53 button. Exports rose 16 
at Merrill Lynch Japan. percent, to $14.2 billion, but 

Tokyo's trade surplus, which imports jumped 19 percent, to 
hit $141 bOtion in 1 993, is likely $8.9 billion. 


to swell to $147 billion in 1994 
before declining to $127 billion 
in 1995, he said 
■ The Finance Ministry said 
Friday that Japan’s merchan- 
dise trade surplus in September 
fell 4.6 percent, to $11.94 bil- 
lion. That marked the second 


The biggest improvement 
came in trade with the Europe- 
an Union, where Japan's sur- 
plus narrowed 20 percent, to 
$22 billion. 

■ Big Stores 9 Sales Decline 

Tokyo’s department store 


consecutive month of year-on- sales in September fell for the 
year declines and reflected the 31st consecutive month, reflect- 
slowly expanding economy’s ing slow sales of autumn clothes 
propensity to import more. and continued sluggish corpo- 
Although strong overseas de- rate demand, Agence France- 
manrl for Japanese products Presse reported, quoting an in- 
boosted exports by 83 percent, dustry association, 
to $36.09 bOHon, imports rose Bat Japanese corporate bank- 
16 percent, to $24.15 billion, rap tries fell 6.8 percent in Sep- 
Contributing the most were tember from a year earlier, to 
sharply higher imports of crude 1,104 cases, their third consecu- 
63 and machinery. live year-on-year decline, a pri- 

The growing taste fear less ex- vate credit research agency said. 

IMF Chief Reassures Manila 

TheAaodated Prea hdd cordial talks with Mr. 

MANILA — The head of the Camdessus. 

International Monetary Fund ‘‘There whs no effort to tell us 

expressed concern Monday what to do," Mr. Roco said, 
about inflation in the Philip- ‘They are happy with the Ptul- 
pines bm said he was otherwise ippine economic development” 
hjppy wiA its economic gains, Mr. Camdes- 

ofnaals said. sus brought up the subject of 

Michel Camdessus, the IMF the inflation rale, which was 8.6 
managing director, arrived Sat- percent in September, down 
unlay for talks with President from 9.9 percent in August 

H&j'E" “ d 0tbCT Fha ‘ Mr. C Sundessa told central 
ippine leaders. bank officials that he wanted 

Senator Rani Roco, chair- inflation to remain in angle 
man of the Senate Finance digits, Gabriel Smgson, gover- 
Comnnttee, said senators had nor of the central bank, said. 


Honda Focuses on Asia 

Carmaker Invests in Thailand Factory 


Compiled fa Our Staff From Dtspmdies 

TOKYO — Taking advan- 
tage of a booming Southeast 
Asian market while protect- 
ing itself from a strong yen. 
Honda Moior Co. said Mon- 
day it would build a $100 mil- 
lion car plant in Thailand 

Toyota Motor Corp., the 
top automaker in Japan, also 
announced plans to increase 
production in Thailand. 

Honda said the factory 
would allow it to increase 
production in Thailand to as 
much as 100,000 cars a year 
from 36,000 currently. 
Toyota said it would raise 
output at its Thai plant by 50 
percent over three years. 

Toyota is also considering 
expanding its factory in the 
Philippines. The company al- 
ready has plants in Indonesia, 
Malaysia and Taiwan. 

All Japanese carmakers 
have seen their revenue re- 
duced as the rise in the yen 
cuts into proceeds from over- 
seas sales when these are con- 
verted back into yen. 

Because the automakers 
get as much as 60 percent of 
their revenue from overseas 
sales, production outside Ja- 
pan reduces the currency risk 
and moves production closer 
to their growing markets. 


The yen’s strength has tak- 
en a heavy toll this year: 
Honda said its revenue was 
cut by 26 billion yen ($262 
million; in its last quarter be- 
cause of the yen, and Toyota 
lost 160 billion yen Lo nega- 
tive currency translations in 
its latest full year. 

Steve Usher, an analyst at 
Klein wort Benson Interna- 
tional, said most Japanese 
automakers had finished the 


Demand for cars 
in Southeast Asia 
has been 
growing at a 
phenomenal 
rate. 


work of budding production 
plants in North America and 
will now shift to developing 
markets such as Asia. 

Demand for cars in South- 
east Asia has been growing at 
a phenomenal rate as incomes 
and living standards rise. 

Toyota said sales in 1993 in 
the six nations of the Associa- 


tion of Southeast Asian Na- 
tions grew 18.5 percent from 
a year earlier. Sales in Thai- 
land, where the economy 
surged more than 8 percent 
last year, grew 26 percent 

ASEAN comprises Brunei, 
Indonesia, Malaysia, the 
Philippines, Singapore and 
Thailand. 

Spokesmen for Honda and 
Toyota said they saw great 
potential for car sales in Asia, 
while the 220,000 cars 
Toyota sold in Southeast Asia 
lasvyear pale in comparison 
with the 1,030,000 cars iL sold 
in the United States, growth 
rates are the key attraction, 
the Toyota spokesman said 

Honda said the new plant, 
its third in T hailan d, would 
start production in the spring 
of 1996. The company has 
sold 23,000 cars in Thailand 
so far this year, up 40 percent 
from last year. 

The Southeast Asian mar- 


ly than that of China, where 
Japanese companies have met 
with less success. Toyota has 
signaled its willingness to 
build a joint- venture vehicle 
plant in China but has yet to 
receive approval from Beij- 
ing. (Bloomberg, AP, Reuters) 


Firm Finally Gets Mini van in Gear 


By Andrew Pollack 

New York Times Service 

TOKYO — Honda Motor Co. will attempt 
to plug a major hole in its product tine Thurs- 
day when it comes out with its first minivan. 
The name of the van, Odyssey, could not be 
more appropriate. 

The Odyssey is only the first step in what is 
likely to be a long journey for Honda, as it 
tries to catch up in a booming pan of the 
vehicle market that it has ignored for years. 

Honda officials have said they hope to 
make up for their late start by creating a new 
type of vehicle, combining die spaciousness 
of a minivan and the maneuverability of a car. 

Analysts said the Odyssey, which will go on 
sale immediately in Japan and early next year 
in the United States and Europe, did have 
some innovative features. It also has short- 
comings, including a high price and a small 
engine, both of which mil limit its appeal in 
the American market. 

“It’s a very good vehicle, but it's not fully 
competitive with the U.S. vans,” said Chris 
W. Cedergren of AutoPadfic Inc., a consult- 
ing firm. “What they’re trying to do is get 
their feet wet,” 

Honda has fairly limited ambitions. To 
start, it is planning to sell about 30,000 vehi- 
cles a year in the United States. By contrast, 
Chrysler Corp. is expected to sell more than 
500,000 of its Dodge Caravan and Plymouth 
Voyager vans this year. 

Honda has always believed in focusing on 
passenger cars, ignoring commercial vehicles. 
That philosophy caused it lo miss out on the 
rapidly growing markets for minivans, pick- 
ups and sport-utility vehicles in the American 


market, an egregious blunder for a company 
that sells more cars in the United States than 
it does in Japan. 

These types of vehicles account for about 
40 percent of the American market, and is 
remains the only major manufacturer that ha< 
not begun competing for this market share. 

Honda executives in Japan have been talk- 
ing for a year about how innovative the new 
mini van would be. Company engineers code- 
named the Odyssey P J. — for personal jet. 

The new vehicle is indeed car-like in some 
respects and is based on the chassis used in 
the popular Accord. It is somewhat narrower 
and shorter than most mini vans in the United 
States. It has four conventional car doors, as 
in a sedan, rather than the rear sliding door 
found in most minivans. 

The Odyssey also has a four-cylinder, 22- 
liter gasoline engine, smaller than the V-6 
engines common in American minivans. 

The Odyssey will be pricey. In Japan, the 
base model will start at about 2 million yen, 
or about $20,000. In the United States the 
Odyssey is expected to sell for $22,000 to 
$26,000, compared with a range of $18,000 to 
$25,000 for many competitors. 

One reason for the high price in the United 
States is that the van will be manufactured in 
Japan, and its export price will reflect the 
strength of the yen. 

Honda is already developing a V-6 engine 
for the Accord, and that engine will eventually 
become an option far the Odyssey. By 2000, 
Mr. Cedergren of AutoPadfic predicted, 
Honda wfll introduce a minivan designed and 
manufactured in the United States and aimed 
more specifically at the American market. 


Page 15 

ASIA/PACIFIC 


India Eases 
Rules on 
Loan Rates, 
Fees to Fall 


BOMBAY — India partly 
deregulated interest rates Mon- 
day in the latest phase of its 
economic reform program, and 
bankers said they expected 
prime rates to falL 

Officials at the Reserve Bank 
of India said the move was part 
of a phased program to bring in 
lower interest rates. 

Under the new guidelines, 
commercial hanks will be free 
starting Tuesday to decide how 
much to charge on loans of more 
than 200,000 rupees ($6,38?;, 
Alarm Killawala, the central 
bank’s spokeswoman, said. 

Bankers said (he lower rates 
would help stimulate India’s 
economy in the fourth year of 
reforms aimed at integrating 
the country into the global 
economy. 

Officials at Indian brokerage 
booses said the move should 
lead to a rate cut of about one 
percentage point, but some 
bankers said the cuts would be 
two to 25 percentage points. 

Until now, banks have been 
required to charge a minimum 
interest rate on loans above 
200,000 rupees. That rate, cur- 
rently 15 percent, was the 
benchmark rate for all bank 
lending in India and was set by 
the central bank. 

Interest rates on loans be- 
tween 25,000 and 200,000 ru- 
pees are fixed at 135 percent, 
the central bank said. Loans of 
less than 25,000 rupees are fixed 
at 12 percent. 

A bank governor, Chakra- 
varty Rangarajan, outlining the 
bank's credit policy for the next 
six months, also eased credit 
controls on cotton and rice and 
raised borrowing limits for ma- 

^ infrastructure projects to 5 
on rupees a project from 2 
billion rupees. 

The bank said it would also 
free up 28 billion rupees by cut- 
ting reserve requirements of 
commercial banks. 

The interest-rate deregula- 
tion allows banks to set their 
own prime lending rates. 

“Banks would be required to 
obtain the approval of their re- 
spective boards for the prime 
lending rate, which will be the 
minimum rate charged by the 
banks for credit limits of over 
200,000 rupees," the central 
bank said. Nearly all large 
banks in India have been owned 
by the government since they 
were nationalized in 1969. 

Bankers said the Reserve 
Bank's move, which was an- 
nounced after the close of trad- 
ing on India’s stock markets, 
bad taken them by surprise. 

(Reuters, Bloomberg) 


Hong Kong 
HangSang 

. 11000 v— ..... 


Singapore 
. Straits Timas 


Tokyo 
' Nikkei 225 


— - 2200 : r - 





8(H VTiirs , w irxrx^er. • 


IBM IBM IBM-- .. . 

Exchange index . ' . .* Monday - Pm. % : 

*•" Close ' Close ' Change 
Hong Kong Hang Seng . 8,45544 9,55083 -099 

Singapore ■ .Straits Tkpw . 2^87^7 ^377.30 +0.43 

Sydney .. . 7 ABpnflnaties . 2,014.20 2.006.00 +0.41 

Tokyo ■ 225 . 19,958.29 10.98930 -0.08 

Kuala Lumpur. Composite . 1,126.12 1,128.45 -CL21 

Bangkok . sir" 1 ; ' ! . ifiOBAf 1.49&5S +033. 

Seoul-'.' , ..Composite Stock . 1.10&87 1,096.48 ' +132- 

Tarlpei Pffce! €,731453 €£95.46 +0.53 


Hong Kong -Hang Seng 
Singapore ; v State Times 
Sydney ’ . ' M OnSnanss 

Tokyo ' . i ; N»iM 225 
Kuala Lumpur Composite 
Bangkok ■ SET 


WanUft : - ; ! PSE - ■ 7 
Jakarta ■ Stock lndajt"" 
' New Zealand" ~NZS&40 


3,050.14 2,99933 +1.67 

511-34 510.34 +020 

2436833 2.053.28 +0.64 


) Bombay .... National index 2,03047 . 2,068.63 -O.B4 ] 

Sources: Reuters, AFP tournuuxaal Herald Tritune 


Very briefly; 

• British Airways PLC has joined with Air Ghana, China's interna- 
tional carrier, and Hutchison Whampoa Ltd, the Hong Kong 
conglomerate, to bid for one of three aircraft maintenance licenses 
at Hong Kong’s new airport 

• Hong Leong Bank Bhd surprised analysts when its stock rose 
165 percent on its first day of trading in Kuala Lumpur, closing at 
8.75 ringgit ($3.42) after an issue price of 3 JO. 

• Japan Air Lines Co~, Japan's largest carrier, said it had been 
talking to Thai Airways International Ltd. since early this year 
about strengthening business ties. 

• China Resources Holdings, a state-controlled holding company, 
has sold its most of its stake in Giordano Holding Ltd., a Hong 
Kong retailer controlled by Jimmy Lai. 

• Dai-lchi Kangyo Bank Ltd and Bank of Tokyo offered the best 
rates on the first day deposit accounts were deregulated in Japan, 
at 030 percent; eight of the 1 1 largest banks offered 0.25 percent. 

• Singapore companies’ investment abroad rose 26 percent last 
year, to 283 billion Singapore dollars ($19 billion); almost one- 
third of the money went to Malaysia and Hong Kong. 

• OLS Asia Holdings, the third Chinese company to list its stock 
on the Australian stock exchange, closed at 1 Australian dollar (73 
U.S. cents), up from its issue pnee of 92 cents, afp, Bloomberg, Remm 


Shaky Start by Manila Issue 


Renters 

MANILA — Shares in a tele- 
communications company 
making its debut on the Philip- 
pine Stock Exchange suffered 
Monday because of controversy 
over revelations that its chair- 
man had a U.S. criminal con- 
viction, brokers said. 

But they also said that a five 
million peso ($196,000) fine im- 
posed by the exchange against 
the issue's lead underwriters 
would help the market, making 
it dear to investors that authori- 
ties were serious about enforcing 
trading rules. 

Liberty Telecom Holdings 
Inc., a mobile-phone company 
headed by Raymond Moreno, 
ended its first day of trading at 
265 pesos after opening at 280. 
The shares, offered to the public 


at 250, reportedly had been 
trading at 350 on the gray mar , 
fcet before the listing. 

Patrick Garcia of L. M. Gar- 
da & Associates noted “nervous 
selling on the issue.” 

The local lead underwriter. 
Peregrine Capital Philippines 
Inc., was fined for making a 
“late and incomplete” disclosure 
that Mr. Moreno had paid 
$30,000 in fines and $970,000 in 
a related U5. civil action in 
1987. The charges against him 
arose from a Justice Department 
inquiry into an alleged conspira- 
cy to siphon $3 million from a 
government-financed telecom- 
munications project 

Peregrine has denied it was at 
fault and has asked the exchange 
to review the fine. 


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Axnwria 

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ACCESS NUMBERS COUNTRIES 


ACCESS NUMBERS COUNTRIES 


ACCESS NU MBERS COUNTRIES 


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633*1000 

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1 -800^00-4663 

00- 1-800-777-1 1 1 1 
3-10-155 
008-951 1-10 

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1 - *00-877-8000 
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108-16 

980-130410 

980-130-110 

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Danmark + 

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BSahoder + 

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Roland + 

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CuoKHiuIa + 

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195 

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800-1177 

011 

00*800411-877 

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177-101-2727 
172.1877 

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Japan (.’oponew) + 

Kenya / 

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INTERNATIONAL HERALD TRIBUTE. Tl E5DAY. OCTOBER 18. 1994 


NASDAQ 

Monday's 4 pan. 

This fist compiled by the AP. consists of the 1,000 
most traded securities m terms of dollar value, it ts 
updated twice a year. 


l?M0Mh Sit I n worth SH ' '■"> 

Hun urn Sfocfc Dm YU PE 1005 Won Low LOWS Oi'o« | HUn Low Sloe* Din YIO 96 IWj rfisr Lr* Ln«*0 - so I m>j*i 


H^ntST awe EW YU PE 1005 Huh LowLOTOMChflc 


C«V YU re MB* 


•ewEnt o* 


Monday’s Closing 

Tables indude the nationwide prices up to 
the dosing on Wall Street and do not reflec 
Bate trades elsewhere. Via The Associated press 


17 Month sn 

Huh Low Stock aw yu PE 1001 Mtgn ImUMOt* 


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Page 18 


EVTERNATIONAL HERALD TRIBUNE. TUESDAY, OCTOBER 18. 1994 


•v . •' 

■*r 


SPORTS 


Struggling Saints WS3S& 
Easy Prey for ***'’■■-**■ 
Perfect Chargers 


The Associated Press 

They are 6-0 and the Nation- 
al Football League’s only un- 
beaten team. They are off to 
their best start since going 1 1 -0 
to open the 1961 season. 

Things are indeed looking 
good for the San Diego Char- 
gers, their latest bit of promis- 
ing news a 36-22 decision over 
the Saints in New Orleans. 

“We're playing well" said 
quarterback Stan Humphries, 


NFL ROUNDUP 


who completed 17 of 29 passes 
for 186 yards on Sunday. “I 
think this team can go as far as 
it wants.” 

But Natrone Means, who 
rushed for three touchdowns 
and had two others called back 
on holding penalties, sees no 
point in making projections. 

“We’re happy, but we're level- 
headed,” he said. “We’re going 
to keep working at winning.” 

The Chargers scored on seven 
of their first eight possessions 
and dropped the Saints to 2-5. 

After tr ailing 27-7 at the half, 
the Saints pulled to 33-22 with 
9:39 left But on their next pos- 
session, Derek Brown fumbled 
and San Diego recovered at the 
New Orleans 12. putting the 
game away. 

John Carney, the San Diego 
kicker, added five Geld goals to 
Means's three rushing TDs. 

San Diego dominated from 
the start scoring on its first five 
possessions. On the sixth, 
Humphries knelt with the ball 
to run out the dock. 

Playing almost flawlessly, the 
Chargers had only two offen- 
sive penalties, no turnovers and 
allowed one sack despite heavy 
Saints pressure. 

By halftime, the Chargers 
had outgained New Orleans 235 
yards to 1 12. Means ran for 75 
yards, induding three touch- 


downs — a 1 6-yard er and 8- 
y aider in the first quarter and a 
1-yard run in the second. 

Carney hit two second-quar- 
ter field goals, from 49 and 31 
yards. He added scores from 29 
yards twice in the third quarter 
and from 28 in the fourth. 

New Orleans scored on two 
touchdown passes from Jim Ev- 
erett — an I8-yarder to Quinn 
Early and a 1-yard toss to Irv 
Smith. Lorenzo Neal added a 1- 
yard scoring run. _ 

Cowboys 24, Eagles 13: In 
Irving, Texas, Emmitt Smith 
ran for 106 yards and one 
touchdown and Troy Aikman 
threw two TD passes against 
Philadelphia as Dallas took sole 
possession of first place in the 
NFC East. 

Smith broke the team record 
shared by Bob Hayes and 
Frank Clarke with a touchdown 
in his eighth straight game. Aik- 
man surpassed the club mark 
held by Don Meredith and 
Roger Staubach with a TD pass 
in 12 consecutive games. 

Dallas (5-1) intercepted four 


C ss by Randall C unning - 
. Cunningham, however. 


ham. C unningham , however, 
had an 80-yard quick kick for 
Philadelphia (4-2). 

Rams 17, Giants 10: In Ana- 
heim. California, Chris Miller 
threw two TD passes in the first 
quarter and the Rams sent New 
York to its third straight loss. 

The Rams (3-4) made the lead 
stand up. shutting out the Giants 
(3-3) in the second half. New 
York's Dave Brown again strug- 
gled, throwing two interceptions. 

In earlier games, reported 
Monday in some editions of the 
Herald Tribune: 

Cardinals 19, Redskins 16: In 
Washington, Steve Beuerlrin. 
given a second chance by Coach 
Buddy Ryan to be Arizona's 
starting quarterback, threw a 



Ranking- Game Clamor Starts 
As Penn St. Moves to the Top 


?rSerj Sjerar Faas-Prcsse 

Despite a sack by Philadelphia's William Thomas (51 ) and Greg Townsend, the Cowboys' 
quarterback Troy Aikman threw two touchdown passes to lead Dallas to a 24-13 victory. 


tying touchdown pass with 19 
seconds left in regulation. 

Redskins rookie Heath 
Shuler threw five interceptions, 
the last one by Terry Hoage and 
leading to Todd Peterson’s 29- 
yard winning field goal with 
five minutes left in overtime. 

Arizona (2-4) overcame a 14- 
3 deficit in the fourth quarter. 
Washington (1-6) lost its 11th 
straight game to an NFC East 
opponent. 

Steders 14, Bengals 10: in 
Pittsburgh, the Sieelers won de- 


spite an early knee injury to 
running back Barry Foster’ that 
is expected to sideline him for 
two to three weeks. 


The Sieelers (4-2) beat Cin- 
cinnati fO-6) for the seventh 
straight time. 

Dolphins 20, Raiders 17: In 
Miami, the Dolphins moved 
into sole possession of the AFC 
East lead. 

Bemie Parmalee ran for a ca- 
reer-high 150 yards, including a 
26-yard jaunt that led to Pete 


Stoyanovich's 29-yard field 
goal 5:46 into overtime. Parma- 
lee also recovered a fumbled 
punt by Tim Brown that set up 
the tying TD in the fourth quar- 
ter. and made a hard hit that 
gave Rocket Ismail a slight con- 
cussion on a kickoff mum. 

The Dolphins 1 5-2) won de- 
spite Dan Marino completing 
only 17 of 37 passes. The Raid- 
ers (2-4* also had problems as 
Jeff Hostetler (8-of-23) was 
benched after arguing with 
Coach An Shell on the sidelines. 


By J. A. Adande 
and David Nakamura 

Washington Post Sen K? 

WASHINGTON — There was a brief silence 
at Florida Field as the Auburn wide receiver 
Frank Sanders landed in the end zone with the 
winning touchdown pass in his hands. It was 
only a brief interlude, between the moment the 
breath went out of the more than 80.000 Flonda 
fa ns and the moment the Auburn fans realized 
that their team had just toppled the No. 1 Gators 
and began hollering. 

It could be the last silent moment of the 
college football season. Get ready for more heal- 
ed debates over who should be No. 1 and more 
clamoring for a playoff system now that the 
latest national rankings are out. 

In the .Associated Press media poll Auburn — 
the 7-0 team that beat the former top-ranked team 
on the road — is No. 4. Nebraska — the 7-0 team 
with the most first-place votes — is ranked third, 
having fallen a spot after beating what had been 
the No. 16 — Kansas State — on the road. 

Colorado, which is 6-0 after playing the toughest 
schedule of any of the contenders, is No. 2. 

And 6-0 Peirn State, the team ranked behind 
Nebraska last week, is No. 1 with a head 
coach who savs that it’s insignificant. 

“I really don’t care about polls." Joe Paterae 
said after his Nittany Lions scored a critical 31- 
24 victory at then-No. 5 Michigan on Saturday. 

“We've got five more tough games to play and 
the polls don't really matter,” he added. “We'll 
worry about what the polls have to say after the 
next five games.” 

Penn State had 19 first-place votes and 1.487 
points. Colorado had 15 first-place votes and 
1.474 points. Nebraska had 25 first-place votes, 
but only 1,463 points. Auburn had three first- 
place votes and 1.402 points. Florida fell to fifth. 

Nebraska also was overtaken in the USA To- 
day/CNN coaches* poll. The Corahuskers main- 
tained their No. 2 ranking and had 31 first-place 
votes (and 1.498 points), but Penn State jumped 
to No. 1 from No. 3. receiving 22 first-place 
votes and 1.504 points. 

When asked why his team didn’t advance to 
the top spot despite its 17-6 victory' on Saturday- 
over Kansas State, Nebraska's coach. Tom Os- 
borne. said: “I think we beat a pretty good team, 
and yet certainly beating K-State doesn't get the 
same respect that Penn State beating Michigan 
does or maybe Colorado beating Oklahoma.” 

“We keep coming away with victories against 
ranked teams, which is great, but they keep 
talking about the Aubums and the Floridas.” 
said the Colorado tailback Rashuan Salaam, who 
scored four touchdowns in Colorado's 45-7 vic- 
tory over Oklahoma. ”1 just can't wait until Oct. 
29. We'll see who's number one.” 


That’s when Colorado travels to Nebraska in 
what looms as the biggest showdown left until 
the January bow! games. Penn State has a week 


off before playing Ohio State at home. The toad 
to its first Big Ten Conference champwishm 


to its first Big Jen Lonicrcncc championship 
gets easier after that, with games against Indiana 
Illinois, Northwestern and Michigan Slate. 


Lack of respect is still the refrain coming from 
Auburn, which has won 18 consecutive game* 
and is responsible for creating this mesa fcv 
breaking Florida’s hold on the top spoL 
The Tigers are ineligible for rateiscason play 
and aren't included in tnc coaches’ pcdl because of 
National Collegiate Athletic Association sanc- 
tions. Saturday was their best chance to advance 
their came by beating a higher-ranked team, al- 
though they can still make a case by beating No. $ 
Alabama (7-0) in the final game of the season. 

“If they don’t give us respect after this one, 
that’s just tough, said Auburn's quarterbad. 


Who should be No. 1? The 
arguments are strong in every 
case, which is one reason why 
the voting is so close. 


Patrick Nix. “I don't think there’s a doubt who 
the No. I team in the nation right now is. Every- 
body said there was no doubt Florida was, so 
when you come and beat them in their place . . .** 
And then there's the bowl coalition poll, which 
combines the teams' point totals in the media 
and coaches' polls in an attempt to formulate the 
best possible bowl matchups — but does not 


determine a national champion. In that 
Penn State is No. 1, followed by Nebraska. < 


rado, Auburn and Florida. 

So who should be No. I? The arguments arc 


strong in every case, which is one reason why the 
voting is so close. 


voting is so close. 

Penn State has produced astronomical offen- 
sive statistics and Saturday erased the knock that 
it hadn't played a real team. Colorado has routed 
Wisconsin, the defending Rose Bowl champion, 
won at Michigan in the most dramatic game of 
the season and has victories over Texas and 
Oklahoma. Nebraska began the season strongly 
and is undefeated. 

But die Corahuskers’ victories against West 
Virginia and UCLA, which were both in the top 
25 at the start of the season, look weaker and 
weaker as both of those teams struggle. 

Auburn is undefeated and won at Flonda, $ 
greatest test on a weak schedule. But should a 
team on probation be national champion? 




NFL Standings 


Miami 
Buffalo 
N.Y.Jets 
Indianapolis 
Now England 


Cleveland 

Pittsburgh 

Houston 

Cincinnati 


Son Diego 
Kansas City 
Seattle 
UA. Raiders 
Denver 


AMERICAN CONFERENCE 
East 

W L T Pts 

5 2 0 .714 

4 3 0 sn 

n 4 3 o sn 

polls 3 4 0 .429 

aland 3 4 0 JtS 

Central 

W L T Pts 

nd 5 10 JOS 

rsh * 2 0 ACT 

i 1 5 0 .167 

all 0 6 0 JX» 

West 

W L T Pts 

SO 6 0 0 IjOOO 

City 3 3 0 MO 

3 3 0 JOO 

Iders 2 4 0 .333 

1 4 0 JDO 

NATIONAL CONFERENCE 
East 

W L T Pts 


Pts PF PA 
.714 180146 
STl 134 143 

sn 116122 

>29 140 145 
>29 175110 


Pts PF PA 
233 129 66 
-667 114 W 
.167 67 134 
.000 88 143 



Central 



Western Division 




11 Texas 

4-1-0 

817 

12 

Standings: Real Madrid M coin is- Decor- 


w 

L 

T 

Pts 

PF PA 

Calgary 12 3 

0 

574 

304 

24 

14. Arizona 

5-1-0 

764 

14 

Dva La Coruna 11. Saragossa 10 Berts 9. Bar 

Chicago 

4 

2 

0 


113 108 

Edmonton 11 4 

0 

438 

352 

22 

15. North Carolina 

5-1-0 

717 

IS 

celsna 9. Tener* le*.SDortingGilon9, Valencia 

Minnesota 

4 

2 

0 

.667 

134 95 

Brit Columbia W 4 

1 

505 

377 

21 

16. Syracuse 

5-1-0 

561 

18 

8. Athletic Bilbao 8. Esoognot 7, Seville 7Xeito 

Green Bay 

3 

3 

0 

.500 

107 84 

Saskatchewan 8 1 

0 

413 

393 

16 

17. Virginia Teen 

5-1-0 

535 

t» 

Vice 6. Cxnncsldo 5 V0II0O0IM t, Allelko 

Detract 

2 

4 

0 

JOT 

106 129 

Sacramento 7 7 

1 

358 

405 

IS 

18. Utah 

500 

414 

:t 

Moor Id 5. Al bccele 5. Real Sociedad 5. Racing 

Tampa Bay 

2 

4 

0 

-OT 

80 118 

Las vesas 5 io 

0 

412 

489 

10 

19. Kansas SI. 

4-1-0 

391 

16 

Santander 4, Osleco 1 Lcprooes 2 


West 




x-ciin cited playoff berth. 





20. Duke 

6-00 

316 

25 

ITALIAN FIRST DIVISION 


w 

L 

T 

Pts 

PF PA 

SuteTs Games 




21. Brig. Young 

51-0 

258 

— 

Torino 2. AS Rome 

San Francisco 5 

2 

0 

J14 

196 134 

Hamilton 27. Calgary 23 





22. Bosron College 

3-2-0 

227 

It. 

Standings: Romo 1 4 points. Parma 13. Lazio 

Atlanta 

4 

3 

0 

-571 

141 154 

Shreveport 24, Sacramento 12 




21 Washington St. 

4-2-0 

209 

20 

11. Fopolo 1 1. inventus 1 1.Samodorla 10. Bari 

LA. Rams 

3 

4 

0 

>29 

101 119 

Edmonton 31. Baltimore 24 




24. Ohio SI. 

5-2-0 

102 

— 

10. Milan to. Florentine 9. Inter A Ccgllorl A 

New Orleans 

2 

5 

0 

-286 

119 174 

Taranto 24, Ottawa 32 





25. Virginia 

5-1-0 

■>5 

— 

Genoa S. Torino ?, Cremonese 6, Naooll 5. 

Sunday's Games 
Arizona 19. Washington 16. OT 


The AP Top 25 









Padova j. Brescia 2. Regglano 1. 


SEATTLE— Claimed Alex Oku. Ml I ffekler. 
off waivers from Milwaukee. 

TEXAS— Announced that Tim Lcarv.pilctl. 
er. refused an oufrioltr osslonmem ana elecied 
tree opener Waived Roo Ducev. outfielder. 

TORONTO— Named Card Ash 9cneral 
maeaper. Announced mat Darnell Coles, in 
ilelder. refused on oulrlghl assignment and 
elected free apenev Announced that Rich 
Hocfcer. special assignment coach, was not 
retained lor the 1995 season. 


PITTSBURGH— Designated Mark Dewrv. 
Pilcher, for assignment. Claimed Netsan Ur- 
lana Inlielder. oil waivers Itom Colorado. 

5T. LOUIS— N a med Won Jockettv general 
monoper. 

SAN FRANC ISCO— Announced tnot Dcrve 
Mortlnez, millMder. refused on outright os 
sWnment and elected tree agency. An- 
nounced that Todd Beniktaer. tfrn ba seu i w i 
and Bud Bloch, Pilcher, refused outright as- 
signments and elected free oeenv. 


Pts PF PA 
lilOO 17V 106 
A00 90 80 

J00 130 86 
-333 133161 
200 108 M6 


Pittsburgh 14, Onclmott 10 
Indianapolis 27. Buffalo 17 
Miami 30. Las Angeles Raiders 17, OT 
New York jets 24. New England 17 
San Francisco 42. Atlanta 3 
Los Angeles Rams 17, N.Y. Giants 10 
Da Das 2c Philadelphia 13 
San Diego 36. New Orleans 22 


CFL Standings 


The Associated Press cortege football poiL 
with nrsHdace votes b> parentheses, records 
through Oct li Mai points Dosed oo 25 points 
tor D firs* Place vote Ihraagb one point for a 
2S1ti Place vote, end ranking In the previous 
poll: 

Record Pts Prev. 
1. Penn St. (1?) 64-0 1>87 3 


Eastern Division 


Dallas 
Philadelphia 
N.Y. Giants 
Arizona 
Was h in gton 


Pts PF PA 
-833 15V W 
A67 140 106 
-500 131 134 
J33 68 127 
.143 128184 


x -Winnipeg 

x-BalHmora 

Taranto 

Ottawa 

Hamilton 

Shreveport 


PF PA Pts 
560 433 22 
456 373 20 
426 508 12 
418 539 8 
367 462 8 
365 S» 2 


1. Penn St. 11?) 

2. Colorado (IS) 
1 Nebraska (25) 
4. Auburn (3) 

1 Florida 

6. Texas ASM 

7. Miami 

8. Alabama 

9. Washington 
ia Florida S*. 

11. Michigan 
IX Colorado St. 


ONE-DAY INTERNATIONAL 
West Indies vs. India 
Monday, le Farkfobod, India 
West indies: 273-5 (50 oven) 

India: 177 (all out hi 45 avers) 
Result: West Indies wins bv 96 runs. 


NBA Preseason 


Sunday's Gome 
Cleveland 111 New Jersey ill 


SPANISH FIRST DIVISION 
Real Sociedad 3. Oviedo 1 
Tenerife 0. Valladolid 0 
Compostela 1. Betts 1 
Racing Santander X Log rones 8 
Sporting Glion 3, Albacele 2 
San»os» 4. Cello Vigo 0 


BASEBALL 
American League 

NEW YORK— Excerclsed metr 1995 con- 
tract option on Steve Howe, Pitcher. 

OAKLAND— Announced thol Lance Blan- 
kenshlo and Steve Sax Inflelders. refused out- 
right assignments and elected tree agency. 


National League 

ATLANTA— Bougi contracts al Eddie Pe- 
rez. catcher, ond Terry Clark. Pilcher, tram 
Richmond. IL 

CINCINNATI— Traded Jacob Brumfield, 
outfielder, to Pittsburgh for Danny CJvburn. 
outfielder. Sent Mkah Frank I la outfielder, to 
Pirates to complete iheJiHv 27 trade for Brian 
Hiatter, first base man-out fielder. Extended 
contract of Jim Bowden, general manager, 
five years through 1999. 

COLORADO— Waived Mike Marker. Scott 
Fredrickson and Jim CralkowskL pitchers: 
Oancw 5 heafter, catcher ; TranMod Hubbard, 
outfielder; and Nelson Llrlano, Inflelder. 
Agreed to terms with Jack Bloomfield. Mel 
Nelson. Jim Fanning and Pal Dobson, scouts, 
for the 19*5 season. 

FLORIDA - e xtended contract of Rene Lo- 
cftemaim. manager, through 1997. Named 
Jo » Morales hitting coach, promoted Rick 
Williams, minor league raving pitching In- 
structor. to bullpen coach. 


BASKETBALL 

Notional Bo stce tba tt Association 
CHARLOTTE— Waived Terry Boyd, guard 
GOLDEN STATE— Waived Cornel Parker, 
tarvrord. 

LOS ANGELES— Traded Doug Christie, 
ouani-lorwanL to New York far two future sec- 
odd-round draft choices, signed Eric Ptal- 
kowskL guard-forward, to a tnuHfveor contract 
ORLANDO— Re-signed Anfemee 

Hardaway, gwud. to a 10-voar contract 
PHOENIX— Waived Duane Ceoaer, guard. 
SEATTLE— Waived Cart Thomas and Sam 
Crawford, wards. 


FOOTBALL 

Notional Football League 
CINCINNATI— Signed MUch Berger, punt- 
er. to practice sauod. 

CLEVELAND— Put Whiter Reeves, tight rad. 
on miured reserve- Re-signed Frank Hartley. 
Itohl end. Acquired Reginald Janes, corner- 
back. from New (h-leans lor an unfbetaed 
draft choice. Waived Sefwvn Jane»cnrwt>ack. 


GREEN BAY— Announced Ifiev wlU net re- 
new iltefr lease so Mthmukeg Countv Stadi- 
um. which expires at end of 19*4-95 season. 
Waived Ruffin Hamilton, linebacker. Re- 
signed Charles rime, offensive guard- 
KANSAS CITY— Signed Eric Marlin. WkJr 
receiver, to 2-vear contract. 

MIAMI— Signed Mark Caesar, defensive 
ioaic. from practice sauod. Signed Scot! 
Tyner, punter, to practice sauod. Halite Mm 
lotaa defensive back, retired. 

NEW England— placed Doug Skene, 
guard, on Mured reserve. 

PHILADELPHIA— Waived Mitch Berger. 
Punier. Signed Brycm Barker, punter. 

PHILADELPHIA— Signed Gregory Cut- 
l«n. wide receiver, to practice vnxxi- 
TAMPA BAY— Waived Willie Green, wide 
receiver, 

WASHINGTON— Waived Rtck Hamilton, 
linebacker. 

HOCKEY 

National Hockey League 
DALLAS— Sent Jarkko Varvto, right wing, 
to HPK. Finnish Hockey League. Bought out 
contract of Mike Needham, right wing. 

FLORIDA— Signed Mark MfchouGBoalNM- 
er, and assigned him la Birmingham. ECHL 
MONTREAL — Signed Dion Darling, de- 
laneeman. to J-veor contract 
N EWJ E RSEY— Sen! Jason Smttti, defense- 
moa to Albany. AH L. Recalled Brian Rabun 
center, tram Albany. 

p Ml LADELPHi A— Assigned Phil Owe. 
forward, to Hershev. AHL. 





























INTERNATIONAL HERALD TRIBUNE, TUESDAY, OCTOBER 18, 1994 


Page 19 


|fe' 



SPORTS 


anioj St a N 

to ( j 1(k rj, ^Bringing It all Back Home: Chang, His Father and Tennis in Beijing 


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By Ian Thomsen 
humatimal fferaUTHbme 
A generation ago, Joe Chang set off 
from China like a wave crossing lo 
the other end of the world. In Ameri- 
ca, he met his wife. Betty, who is also 
Chinese. He graduated from night 
school and they raised, their two sons 
in a house with a stately Chinese 
roan and a casual American 


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family room with a big TV at one end. 
Eventually, they would set off again 
toward Joe Chang's homeland. 

! His younger son, Mkhad, had a 
unique talen t for tgnnt^ »wH the fam- 
ily grew used to traveling abroad with 

■ him Michael Chang believes there is 
a puipose behind every movement, 
pushing everything along. 

The Changs were in Paris at the 
French Open in June 1989, where 
Micbad, men 17, would become the 
.Grand Slam titHst ever. He 
family spent much of that 


week around the TV in their hotel 
room, watching the Chinese govern- 
ment’s violent crackdown on democ- 
racy protesters in Beijing. 

“That’s one of the reasons I feel 
God really allowed me to win that 
tournament,” Chang said. “That was 
a very down period for the whole 
Chinese race. Even though I was 
bom in the U.S., I was sml feeling 
for them. It was a period of nothing 
going right for the Chinese people. 
With the French Open happening 
the way it did, here at least was 
something gang good — if oily to 
look in the paper and to take that 
much out of it.” 

His perspective of Asia, while per- 
haps broader than the typical Amer- 
ican view, was limited to the pain felt 
by his parents. What could he do to 
help? As circumstances played 
themselves out, he became the first 
Asian player to win a Grand Slam 


singles ode. He has become the 
Asian pioneer of his sport 

“It was difficult to watch the news 
about it even a couple of years lat- 
er,” he said Monday by telephone 
from Beijing. “When I traveled, I 
would watch CNN and they would 
always show very dramatic scenes of 
Tiananmen Square, updating things. 
To see it on TV was just very heart- 
breaking.” 

For every action there is a reac- 
tion, for every movement a purpose. 
Chang can’t explain all of it He only 
knows that his father’s family left 
China, leaving everything behind as 
the Communist government was 
taking hold. The family had owned 
something of a plantation, “almost a 
kind of town of its own,” Chang 
said. Now Chang is helping his fa- 
ther go home at the age of 53. 

.Until the last year or two. Chang 
always defined his family culture 


against the flashier American back- 

g round. The boys were raised with a 
unuflity that doesn’t sell well in 
America. It hasn’t isolated <"Tn*ng as 
much as it has defined him. He is 22, a 
professional for seven years, ranked 
No. 7 iu the world with winnings of 

more than SS TniTH rm — and he lives 

at home with his parents and his older 
brother, Carl, who is Ms coach. 

“When the typical American 
reaches 20, 21, he’s expected to go out 
and find an apartment and Hve by 
himself " Chang said. “In Chinese 
culture, it’s a joy to the parents to 
have the children live at home while 
they can until they're married. Chi- 
nese famili es have a lot of respect for 
eiders, for parents, for grandparents.” 

“I fed like I’m more Chinese than 
American because of .the things we 
do, the things we eat,” he added. 

As the ATP Tour has moved to- 
ward China — also branching out in 
Aria from Tokyo, Hong Kong and 


Seoul to Malaysia and Indonesia — 
Chang has moved with iL If he is 
perceived as a heroic underdog in 
the United States, a champion in 
spite of standing only 5 feet, 8 inches 
(1.75 meters), in Asia he is consid- 
ered less the underdog, more the 
champion. The hows and whys of his 
play are as important as the results. 
Humility may be a weakness in the 
American marketplace, but it was 
still a strength in Joe Chang’s coun- 
try as the ATP Tour made its debut 
in Beijing a year ago. 

“In America, I notice when we 
play Davis Cup that the mentality is 
to be very confident, to say very 
confident things — like, T fed good, 
I should win this match no prob- 
lem,* ” he said. “I think the Chinese 
or Asian mentality is to be more 
subtle about things, to let your work 
do all of the talking, to not boast 
about anything, but to be very 
thankful for the thing * you have.” 


So tennis took its first real steps in 
China last year in the shoes of Joe 
Chang's youngest son. The son isn’t 
sure how to characterize his feelings. 
People who know Mm say be was 
more determined than ever to win. 
Chang said he only wanted to do 
everything he could to help tennis 
take root in China. About 5 million 
Chinese play tennis, but many more 
play table tennis or squash. 

Who’s to say how much China will 
change international sports in the 
coining decades? In a short time, the 
Chinese have come to dominate 
women’s distance running, swim- 
ming and diving. Perhaps some suc- 
cess will be traced to an illicit use of 
drags, but a greater factor will likely 
be the unique Chinese approach, un- 
bridled by Western psychology. In 
that case, the West will certainly 
react, because there always is a reac- 
tion. One part of the world w HI learn 
more about the other. 


For his part, Chang was trying to 
set things in motion as he accepted 
the trophy for winning the Beijing 
Open last year and spoke to his fa- 
thers people, and his own. 

He took a deep breath — admit- 
tedly nervous — and said in Manda- 
rin: “First, I apologize for my Chi- 
nese. 1 want you to know that the 
Lord Jesus is definitely my strength 
and my love and my me. 1 will defi- 
nitely be coming back to see you.” 

A total of 20,000 came to that 
tournament to see professional ten- 
nis in China for the first time. Most 
came to see Chang. 

The second Beijing Open begins 
Tuesday, and Michael Chang's 
opening match will be televised 
across the world’s largest nation. 
Another generation from now, the 
Chinese may attribute their success 
in tennis to the pioneering American 
who came home. May Joe Chang live 
to see iL 




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Lolas Makes a Mark in Italy 

Fans Toast American After Defeat of Milan 


■-0 


The Associated Pros 

PADUA, Italy — Atari Lalas made soccer 
history and became the toast of Italians tired 
of the dominance of AC Milan. 

The 24-year-old defender scored the first 
gpal ever by an Amcrican-bom player in the 
Italian League as he led underdog Padova to a 
2-0 victory Sunday over the defending Euro- 
pean unH I talian champion. 

“Lalas plays, Milan dances,” said Rome’s 
Comere adlo Sport of the American, who 
sings and plays a guitar in a rock group. 

“Lalas sings the end of an era,” chimed in 
La Gazzetta ddlo Sport 

T -alas, who played for Rutgers and theU.S. 
World Cup team, scored in the 23d minutefor 
Padova, promoted to the first division this 
season after 32 years in the lower division. 

Defender Franco Gabrieli added a second 
in the 61st inmate to wrap up Padova’s 
: victory after four losses and a tie. 

“I don’t intend to stop hoe,” said Lalas, 
who nearly scored a gain in an offensive rush 
late in the second half. “1 want to score more 
goals and hope they are as important as my 
goal against Milan.” 

Said Stefano Edd, a soccer columnist for 
die Padua newspaper E Mattino: “Lalas is a 
personality, and that’s new for Italian soccer. 
He’s not only the first American, but he's 
entertaining." 

After the World Cup, Lalas also had offers 


to play in the Eng lish and Goman first divi- 
sions. 

“I tried to picture myself in 20 years and 
would I regret giving up the chance of being 
the first American to play in Italy,” Talas 
said. 

So, on loan from the U.S. Soccer Federa- 
tion, he signed on for a year with Padova. 

Lalas scored Padova’s first goal of the year 
when the team shocked the traditional power- 
house Intemarionale of Milan in a 1 -0 victory 
in an Italian Cap 

The victoty Sunday was especially sweet 
coming against heavily favored Mflan, the 
team that is owned by Prime Minister Silvio 
Berinsconi and that has dominated European 
soccer in recent years. 

Lalas, whose red hair and goatee have in- 
spired Italian comparisons to the Wild West 
showman Buffalo Bill Cody, jumped advertis- 
ing boards surrounding the field and ran 

ed the referee to assess him a yellow caxdYor 
im proper conducL 

“I can’t understand it,” Lalas was quoted 
as saying by Milan’s Corn ere della Sera. *Tm 
the first American to score in your league and 
they penalize me. Certain rules seem strange.” 

I -aias 's p lans after the season aids are 
unclear. He is mi loan and said he might be 
lined by the U.S. professional league that is 
supposed to start play next spring. 



Poo RmAh/Thc Aimiilri Prm 


Atari potting the ball past AC Milan's goalkeeper. Sebastianio Rossi, sending Padova on its way to a victory. 


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Orioles Vick a First-Time Manager 

BALTIMORE (AP) — The Baltimore Orioles chose Phil Regan 
as their new manager, gambling that the baseball savvy he gained 
over several decades would outweigh his lack of managerial 
experience at the major-league levd. 

Regan, 57, was given a two-year contract with a dub option for 
the third year. He replaces Johnny Oates, who was fired on SepL 
. 26. Regan was pitching coach for two American League teams, 
most recently with the 1994 Cleveland Indians, and spent seven 
years as a scout for the Los Angeles Dodgers. He also has 
managed teams in the winter leagues in the Dominican Republic 
or Venezuela since 1985. 

“People asked me why I kept going back there 10 years in a row, 
and I can honestly say this is why,” Regan said. “I wanted to be a 
■ major-league manager, and one of the ways I could do that was to 
go to the winter leagues and show everybody that I could manage.” 

Estes Wins Texas Golf by a Stroke 

SAN ANTONIO, Texas (AP) — Bob Estes, buoyed by a four- 
stroke lead entering the final round, shot a l-unctar-par 70 on 
Sunday to win the Texas Open golf tournament for the first 
.victory of his seven-year career. 

y Estes, the leader an the way, won by a stroke, covering the Oak 
Hills Country Club course in 19-tmder 265. GB Morgan finished 
second at 266 after a bogey-free round of 67 and DonPodey was 
-another shot back at 68-267. 

For the Record 

Women will compete for the first time in the pole vault and 
hammer throw events at the 1998 European track and field 
dmmpiflMihip g, the European Athletics Association said on Mon- 
day. (Reuters) 


What’s in a Word? In NHL Lockout, Maybe a Lot 


La s Angeles Tbnes Service 

LOS ANGELES — Al- 
though the National Hockey 
League has called its work stop- 
page a postponement and has 
disputed the use of the term 
“lockout,” die league is expect- 
ed to concede — perhaps this 
week — that the stoppage that 
started OcL 1 is a lockouL 
In about 20 states, that 
means hockey players would be 
eligible to file for unemploy- 
ment benefits. 


Not that many would lake 
advantage of that status. But 
the official declaration of a 
lockout might give them stron- 
ger legal footing if they wanted 
to pursue other temporary play- 
ing opportunities. 

“Right now, the whole thing 
is based on calling it a post- 
ponement,” said Ron Salcer, an 
agent who is looking into plac- 
ing players with European dobs 
and in the International Hock- 
ey League. “The league has 


maintained it will be a full 84- 
game season. Once you say 
they're locked out, if you get 
before a court of law, I think it 
will be different” 

From OcL 1, when the season 
was scheduled to start, NHL 
officials insisted that the stop- 
page was a delay and not a 
lockout because games would 
be made up later, not lost 
“Players are being told they 
can practice, but the only way 
they get paid is if there's a 


game, and they’re not letting 
them play any games,” said 
William S. Waldo, an attorney 


who repres 
labor dispi 


3 resents management in 
; ~>Utes. “I’ve done this 


for 17 years. That’s a lockouL” 

But the NHL’s last bit of pre- 
tense is about to disappear. 
With its original OcL 1 starting 
date long past and its second 
proposed date wiped out on 
Saturday because of a bargain- 
ing stalemate, games are certain 
to be losL 


Players will have more time 
to pursue other jobs, but only a 
few are expected to do so be- 
cause of insurance concerns. In- 
ternational Hockey League 
clubs are reluctant to sign high- 
priced NHL talenL 

Although Rent FaseL the In- 
ternational Ice Hockey Federa- 
tion’s president, said last week 
that he would not let European 
clubs sign idled NHL players, 
some said they would do so 
anyway. 


Games Rift 
Is Revived 
By China 

The Associated Press 

BEIJING — China lavished 
praise cm its athletes Monday 
for taking the lion’s share of 
gold medals during the Asian 
Games, and lashed out at Tai- 
wan and Japan. 

Chin a had threatened to boy- 
cott the Games in Hiroshima, 
Japan, unless Vice Prime Minis- 
ter Hsu Li-teh of Taiwan was 
banned from the opening cere- 
monies on OcL 2. Hsu went, 
and Beijing set the issue aside 
and competed anyway. 

Chinese athletes won 137 
gold medals — 41 percent of the 
total and far more than any 
other country. 

“Thor glorious achievement 
shows that the people of China 
in its period of economic re- 
form and opening have a vigor- 
ous fighting spirit,” said a com- 
mentary in the official 
newspaper People’s Daily. 

After the games ended Sun- 
day, China resumed its criti- 
cism of Taipei and Tokyo for 
defying its protests. 

The official Xinhua news 
agency said Monday that Ja- 
pan’s government damaged re- 
lations with China by allowing 
Hsu to attend the Games, al- 
though it did not elaborate on 
any consequences. 

It said Japan violated prom- 
ises made to Beijing when it 
established diplomatic relations 
with China and cut official ties 
with Taiwan. 

Hsu said he attended the 
games not as a government fig- 
ure, but only to promote Tai- 
wan's bid to stage the 2002 
Asian Games. 

But Xinhua accused Japan 
and Taiwan of repudiating Beij- 
ing’s insistence on recognition 
of only one China. 


U.K. Scientists Study Horse Virus 

Reuters 

LONDON — Veterinary authorities in Australia have 
called in Britain’s Animal Health Trust to help fight a virus 
that killed a horse trainer and 14 horses in Queensland. 

As well as affecting horses there are fears the virus is 
virulent in humans and a range of other animals. 

James Wood, head of the epidemiology unit at the Trust, 
said the virus came from the family that causes measles in 
humans and distemper in dogs. He said scientists in Australia 
had grown the vims experimentally and injected it into four 
healthy horses. Three of them died. 

The Queensland authorities’ 21-day ban on racing in the 
state was lifted earlier last week. 


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Page 20 


INTERNATIONAL HERALD TRIBUNE. TUESDAY. OCTOBER 18, 1994 


art buchwald 


White Flag Over Berlin 



Buchwald 


1I7ASHINGTON —The one 

YV difference between World 
War n and the present police 
actions is the way in which we 
treat our enemies. Haiti is a 
good example. 

General Raoul Cedras is the 
loser. He is said to have led a 
junta that 
hilled and ter- 
rorized thou- 
sands of peo- 
ple. He is also 
said to have 
stolen the 
country blind. 

Knowing all of 
this the United 
States has de- 
cided to give 
him back his 
millions and also pay him rent 
for property he owns in Port- 
au-Prince. 

It’s all part of the Clinton 
War Criminal Amnesty Pro- 
gram. 

I couldn't help thinking that 
if poor Adolf Hitler hadn’t 
done himself in at the end of his 
illustrious career, he might have 
come out O. K. 

□ 

If we had had a similar policy 
in 1945, as we have now con- 
cerning our enemies, this is 
what would have happened: 

One of our people, possibly 
former President Herbert Hoo- 
ver, would visit Hitler in his 
bunker. 

“Adolf, I am here to persuade 
you to surrender.” 

“Never.” 

“Wait before you say no. 
Well let you keep Berchtesga- 
den and all your properties in 
Berlin.” 

“What good are they?” 

“Well rent them from you at 
$40,000 a month. Our Treasury' 
Department will put the funds 
in escrow in Switzerland.” 


everyone involved with the Na- 
zis daring World War II. In 
addition to amnesty we will pay 
a pension to anybody who can 
prove that he was a war crimi- 
nal. The United States can’t 
blame you people for your ac- 
tions. As for you, Adolf. I am 
sure you had no idea what was 
going on with your Storm 
Troopers.” 

“I certainly did. Some of the 
best ideas came from me." 

“Right. Now we have a 
bomber standing by to take you 
and Eva Braun to Argentina.” 


“What about amnesty?” 

“Of course you will have am- 
nesty. We plan to grant it to 


“What about all the furniture 
and artwork that l have ac- 
quired over the years?” 

“The Eighth Air Force will 
fly ail your belongings to you, 

and we’ll send a decorator 
along to make sure that you 
find the right material for your 
bedroom.” 

Hoover could see that Hitler 
was getting interested. Adolf 
said, “I want a personal apolo- 
gy from Eisenhower for what he 
did to my troops on D-Day.” 

“That shouldn’t be a prob- 
lem,” Hoover assured him. 
“The important thing is we'd 
like you to resign in two months 
so we can turn Germany into a 
democracy.” 

□ 

“I will not be pushed 
around,” Hiller said. “When 1 
lose a war, I expect respect.” 

“Everyone respects you. 
That’s why they sent me to ne- 
gotiate with you. We want you 
to get a square deal and, al- 
though you are our enemy, you 
deserve a pardon. How much 
rent do you want for the bun- 
ker?” 

“As much as I can get. You 
won't find a view like it in all of 
Europe.” 

Fortunately, before closing 
the deal. Hitler ate a cream puff 
and keeled over dead. Unlike 
General C&iras, he never en- 
joyed the fruits of his surrender. 


The Celebrity Game: 


By Neal Gabler 

N EW YORK — Walter Wmcheli. 

There was a time when that 
name would have hit the ear with the 
same crisp report as Garbo. Cagney. 
Bogart or Presley. It was a name that 
once would have instantly conjured 
the image of a bantam in a snap-brim 
gray fedora and summoned a voice, 
high and staccato, firing words like a 
tommy-gun. 

Every American knew Winched. 
His syndicated gossip column and 
weekly radio broadcast reached an 
estimated 50 million readers and lis- 
teners out of an adult population of 
roughly 75 milli on. He starred in 
movies, inspired songs, stirred con- 
troversies. He was at the very apex of 
celebrity. 

Today, less than 25 years after his 
death, Wincheil is one "of a legion of 
celebrities who were once household 
names and then faded into oblivion 
— people like the playboy Mci^ani 
brothers, the journalist Arthur Bris- 
bane, the movie stars Tommy 
Meighan and Tom Mix. even the 
cracker-barrel wit Will Rogers, who 
is remembered now more as the pro- 
tagonist of the Broadway musical 
“The Will Rogers Follies” than as 
one of America's top movie box-of- 
fice attractions and leading political 
pundits. 

Celebrities are hardly an endan- 
gered species; there are more of them 
these days than ever before. But the 
lives of most celebrities, like that of 
Wincheil, are parables of perishabil- 
ity. No matter how deeply one seems 
to have stuck in the national con- 
sciousness, tune can always unstick 
him. Today it is Wincheil who is a 
cultural footnote. Twenty years from 
now it may be Madonna, Tom 
Cruise. Rush Limbaugh or. quite 
possibly, aD three. 

What unsticks them is the ques- 
tion. The most obvious answer is that 
it is a matter of numbers. For de- 
cades, an ever-expanding pool of ce- 
lebrities has been competing for a 
finite public attention. 

So long as American culture re- 
mained regionalized and so long as 
high culture was the only American 
national culture, the pool was rela- 


tively small — mainly politicians, 
war heroes, ibe odd baseball player 
and entertainer. 

But demographic and social 
changes gave rise to a new sense of 
cultural democracy in the 1920s as 
ethnic, minority and urban .Ameri- 
cans began demanding a larger voice 
in shaping their world. Business hap- 
pily complied by proriding the in- 
struments for a popular culture: 
movies, national magazines, radio, 
tabloids. The rise of mass media im- 
mediately generated a class of na- 
tional celebrity — names and faces 
desperately needed to fiil the maws 
of the new- media and keep audiences 
interested. 

Viewed in ruthless economic 
terms, these movie stars, athletes, art- 
ists. journalists and socialites were 
really human commodities, if not 
quite manufactured for the puipose 
of tantalizing us with their escapades, 
at least seized upon and exploited for 
that purpose. 

By the late '20s, dozens of these 
celebrities had appeared on the na- 
tional screen. But celebrities 
spawned by the mass media to sell 

papers, magazines and films were ob- 
viousiy different from those who had 
achieved fame before the advent of 
mass media. Some 30 years ago in his 
book “The Image,” the historian 
Daniel J. Boorstin defined the basic 
difference as that between weti- 
kn ownness for its own sake < modem 
celebrity) and fame as the product of 
greatness (old-fashioned heroism j. 

“The hero was distinguished by his 
achievement,'' wrote Boorstin, “the 
celebrity by his image or trademark.” 
Or. in Boors tin's now oft-quoted pro- 
nouncement, “The celebrity is a per- 
son who is known for his well- 
knownness.” 

A striking case in point is Peggy 
Hopkins Joyce. In the '50s and '40s, 
Joyce was probably as widely known 
as any entertainer, politician or ath- 
lete, though she was none of these. 
She had enjoyed z brief career as a 
showgirl and an even briefer one in 
movies, but her real claim :o fame 
was as a bride. Running away from 
home with a vaudeville bicyclist at 
15. she was married at 16, then again 



A Few Parables of Perishability 



Pi.h 


Quick now. who was Peggy Hopkins Joyce? 


a few years later to a Washington 
socialite, then to a Chicago lumber- 
man who granted her SI. 4 million in 
jewelry at their divorce, then to a 
Swedish nobleman, then to an Eng- 
lish engineer and finally to an Ameri- 
can banker. 

Marrying was about all she did, 
but it was" enough to make her a 
fixture m gossip'columns, tabloids 
and magazines, just as it would a 
generation for Zsa Zsa Gabor. 
In Boorstin > postulation, fame root- 
ed in achievement is enduring; to this 
d 2 >, we remember the great athletes 
of yesteryear. By the same token, one 
could have predicted that Joyce 
would be forgotten, no matter how- 
famous she was in her own time. 


because her fame wasn’t tethered to 
any recognizable accomplishment. 
Or rather it was tethered to a very 
different kind of accomplishment: 
being famous. 

Though Boorstin and others chalk 
modern celebrity up to media ma- 
nipulation that hoodwinks the pub- 
lic, Americans early on came to ap- 
preciate that a Joyce or a Gabor or 
later a Madonna had indeed 
achieved something in wresting fame 
from the system. To do so took pub- 
licity, wiles, luck, maybe even a cer- 
tain talent. Perhaps more important, 
the public also understood that if this 
wasn't quite comparable to winning 
a war, writing a novel or hitting a 
home run, the end results at least 


were all pretty much the same. It’s 
not what you ve done to make the 
cover of People; it’s just making the 
cover that counts. 

Here is where heroism and celebrity 
collapse into each other. In a society 
where fame is the end and where tfai 
means one uses to gam it are largely 
irrelevant, fame paradoxically func- 
tions as a kind of equalizer. U reduces 
all celebrities, those who have 
achieved something and those who 
have achieved absolutely nothing, to 
the same valence —a Will Rogers and 
a Peggy Hopkins Joyce, a Norman 
Schwarzkopf and a Kalo Kadin. 

This is how I suspect most people 
regard celebrities now. They see them 
as people who lake the national 
stage, do their act and leave, invited 
to return only when they have some- 
thing new to perform. This permits a 
lot of individuals to get a shot —ours 
is certainly the first generation m 
which hair stylists and diet gurus can 
be famous — but it virtually guaran- 
tees a short run. Once you've 
achieved fame, you've reached the 
summit. The rest is all downhill. 

Nowadays we almost always think 
of the famous in terms of images. In 
fact, we are encouraged to think of 
them that way because it is the im- 
ages of them that sell them; scenes 
from movies, photos in newspapers 
and magazmes, videotape on the eve. 
ning news. 

But images are disposable. New 
images are constantly shunting old 
ones aside, not only in the media but 
more important, in our minds. 

Naturally this puts a heavy premi- 
um on a fresh supply of celebrities to 
help keep us ahead of the curve. 

The bonus is that by seeming to 
anoint new celebrities and banish 
many of the old from the media spot- 
light. the public not only feels know- 
ing. it gets the exhilaration of seem- 
ing to exercise power over the 
culture. The public giveth and the 
public taketh. It is rite only way we 
can redress the imbalance between 
the famous and ourselves. 


Neal Gabler, the author of ''Win- 
chelL : Gossip. Power and the Culaue of 
Celebrity, '* wrote this for The New 
York Times. 


WEATHER 


PEOPLE 


Europe 


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Forecast tar Wednesday through Friday, as provided by Accu-Weather. 



North America 

Rain Win cccur frem Si Louis 
lo Detroit Wednesday. 
Showers may reach the East 
Coast later Wednesday or 
Thursday. Mian; a to Char- 
lotte wffl have warm weather 
later this week. The western 
halt ol the nation will have 
dry. seasonable weather late 
this week. 


Europe 

A storm over the North 
Atlanta: Ocean wSI generate 
heavy rains and gusty winds 
from the Braisfi Isles to west- 
ern Norway late this week. 
Central Europe wilt have 
mild weather later this week 
on a gusty wind Windswept 
showers are Ikety from Pans 
to London Wednesday and 
Thursday 


Asia 

Cool weather u > ii settle 
southward across Beijing 
late this week. Shanghai wdl 
be cloudy and cod with 
some tain Wednesday mio 
Thursday. Typhoon Teresa 
will approach Taiwan late 
this weak, then turn north- 
ward toward Japan Singa- 
pore and Manila will be 
warm wilh a few showers 


Middle East 


HJgh Low W Ugh Low W 
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A NARCHY reigns in Hoi !> wood, says 
Raquel WeJdCsex symbol turned pro- 
duction company chief. She adds thal men 
always win the bis power battles in Tinsel- 
town. Welch, interviewed in Tatler maga- 
zine by the femints: writer Camille Paglia. 
praised screen hunk Sylvester Stallone for 
his brash energy and recalled whal a joy 
Fave Dunaway was to work with on "The 
Three Muskeieers.” But Welch, who shot 
to fame in i Q 6*'s classic "One Million 
B. C..” was scathing in her criticism of the 
current Hollywood establishment. She 
said. “There has been a demise of any kind 
of structure that fights for quality. It's left 
up to the strongest so the men always win.” 
Welch. 54. concluded. “Women make a big 
mistake when they polarize themselves 
against men.” 

n 

Camflo Jose Ceia has won the Planeta 
prize. Spain's richest book award at 
5385,000, for “Saint Andrew's Cross.” 
Cela received the Nobel Prize in Literature 
in 1989. 

□ 

Myung-wbun Cbung. the ousted conduc- 
tor of the Paris Opera who gave his final 
performance Friday, says he regrets that 
politicians call the cultural shots in France. 



He said that before coining to Paris, “They 
used to tdl me — I was in Rome then — 
that the orchestra, the public and politics. 


all that was impossible in Paris. They were 
wrong, except for the politics.” He is leav- 
ing with severance pay of about S1.9 mil- 
lion. In dispensing with his services, he 
said, the Opera failed to take into account 
“the necessity of stability.” 

□ 

Crisis time during the filming of the sci- 
fi movie “Wate world,” starring Kevin 
Costner, who's earning $12 million to play 
a half-man, half-fish. After four months of 
filming, with two to go. the movie has cost 
$100 million. Food t heavy on the steak and 
lobsters) and lodging for the cast and crew 
of about 1,500 has cost more than $25 
million, the New York Daily News report- 
ed, with Costner's bungalow, counting the 
cook and butler, costing $4,500 a day. 
“There's no point pretending this is a nor- 
mal Film,” Costner says. “The money got 
out of hand.” 

□ 

A South Korean prodigy, Hjhi Na Chang, 
11, won the top prize of 70.000 francs 
($14,000) at the Rostropovich cello compe- 
tition in Paris. Chang studies at the JuUiard 
school in New York. The judges. led by 
Mstislav Rostropovich, gave second prize to 
Wolfgang Sch mid t, 18, of Germany. 



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